ISLAMABAD: Pakistan shared important economic details with the International Monetary Fund during the first round of budget talks for the next fiscal year. During the meeting, officials highlighted government measures designed to increase overseas transfers and improve foreign exchange inflows.
Officials informed the IMF delegation that the Saudi remittance fee for sending money to Pakistan has been reduced under a special incentive plan. The government believes this step will encourage overseas Pakistanis to use legal banking channels for transfers.
According to sources, Pakistan received nearly $40 billion in remittances during 2025. In comparison, the country recorded remittances of around $32 billion in the previous year. Therefore, officials described the latest growth as a major economic achievement.
During the briefing, Pakistan’s economic team explained several relief measures introduced for overseas workers. In particular, the government focused on reducing transfer costs for workers living in Saudi Arabia and other Gulf countries.
Officials said the Saudi remittance fee for sending $100 was reduced from 35 riyals to 25 riyals. As a result, overseas Pakistanis received financial relief while transferring money to their families.
Later, authorities expanded the facility for higher transfers as well. Under the updated policy, the State Bank of Pakistan also covered the same 25-riyal transaction fee for remittances of up to $200.
Moreover, officials told the IMF delegation that Pakistan allocated large financial resources to support remittance growth. According to sources, the government spent nearly Rs200 billion during 2025 on incentive-based remittance programs.
At the same time, the State Bank paid almost $720 million in transaction-related expenses to support overseas transfers. Officials said these measures helped improve confidence among overseas Pakistanis and increased the use of formal banking channels.
Economic experts believe the reduced Saudi remittance fee may further strengthen Pakistan’s foreign exchange reserves in the coming months. In addition, they expect more overseas workers to send money through official channels due to lower transaction costs.
Meanwhile, government officials described overseas Pakistanis as a key pillar of the national economy. They also praised workers living abroad for supporting millions of families across the country.
Furthermore, the IMF delegation reviewed Pakistan’s economic strategy and discussed future fiscal planning with government representatives. Officials expressed hope that stronger remittance inflows would support economic stability and improve financial conditions.
The government now plans to continue relief measures for overseas workers. By maintaining the reduced Saudi remittance fee, officials aim to attract even higher remittance inflows during the next fiscal year.
