Pakistan Remittances Rise Slightly in August as UAE Inflows Recover

Remittances sent home by overseas Pakistanis increased slightly in August 2026, with stronger inflows from the United Arab Emirates helping offset a decline in transfers from Saudi Arabia, the country’s largest source of remittances.

According to the latest data from the State Bank of Pakistan (SBP), total worker remittances reached $3.656 billion in August, up 0.71 per cent from $3.630 billion recorded in July.

The UAE, Pakistan’s second-largest remittance corridor, recorded inflows of $749.84 million during the month, compared with $737.31 million in July, marking an increase of 1.7 per cent.

Dubai accounted for most of the UAE’s remittance inflows, with transfers reaching $634.61 million in August. This represented a 10.27 per cent increase from $575.52 million in July. Abu Dhabi, however, recorded a sharp decline, with remittances falling 32.69 per cent to $91.13 million from $135.39 million.

Sharjah also reported a decline, with inflows dropping 7.28 per cent to $13.21 million.

Around two million Pakistanis work across various sectors in the UAE, with a large proportion based in Dubai and the Northern Emirates. Remittances from the UAE reached a record monthly level in May, crossing $1 billion for the first time. Inflows declined in June and July before recovering in August.

Saudi Arabia remained Pakistan’s largest source of remittances despite recording a decline during August. Transfers from the kingdom fell 4.43 per cent to $873.45 million from $913.93 million in July, representing a decrease of more than $40 million.

Other Gulf Cooperation Council countries also recorded lower inflows. Combined remittances from these countries fell 2.81 per cent to $326.66 million. Kuwait, Qatar, Bahrain and Oman recorded declines of 4.69 per cent, 3.88 per cent, 2.74 per cent and 0.54 per cent respectively.

Transfers from the United States declined 2.35 per cent to $308.88 million, while remittances from the UK increased 1.48 per cent to $563.73 million.

European Union countries recorded stronger growth, with combined remittances rising 7.49 per cent to $495.95 million. Greece led the increase at 10.72 per cent, followed by Spain at 9.30 per cent, Ireland at 8.46 per cent and Italy at 7.24 per cent.

Australia recorded a 19.32 per cent increase to $99.35 million, while South Korea rose 17.30 per cent to $11.56 million. South Africa and Canada also recorded increases.

The latest figures highlight the continuing importance of overseas remittances for Pakistan, providing a major source of foreign exchange amid pressure on reserves and export earnings.