By Moaaz Manzoor

Pakistan’s workers’ remittances fell to $3.475 billion in June 2026 from $4.252 billion in May, showing a month-on-month decline of $777.63 million, or 18.3%, according to the latest country-wise workers’ remittances data released by the State Bank of Pakistan.

According to the State Bank of Pakistan’s country-wise workers’ remittances data, available up to June 30, 2026, shows that total remittance inflows stood at $3,474.53 million in June compared with $4,252.16 million in May.

The decline came after May recorded the highest inflow in the six-month period shown in the SBP table. Despite the monthly fall, June inflows remained slightly above January’s $3,464.47 million and higher than February’s $3,287.87 million.

Remittances matter for Pakistan because they provide foreign exchange support and supplement household incomes across the country. A monthly fall in inflows can affect external account comfort, while sustained inflows help reduce pressure on foreign exchange reserves and the current account.

Saudi Arabia remained the largest single source of remittances in June, with inflows of $829.61 million, down from $1,025.06 million in May. This showed a decline of $195.45 million, or 19.1%, during the month.

The United Arab Emirates was the second-largest source, with remittances falling to $792.25 million in June from $1,006.62 million in May, a decrease of $214.37 million, or 21.3%. Within the UAE, inflows from Dubai stood at $614.61 million, Abu Dhabi at $146.18 million, Sharjah at $16.87 million and other UAE locations at $14.59 million.

Together, Saudi Arabia, the UAE and other GCC countries contributed $1.943 billion in June, accounting for nearly 55.9% of total remittance inflows during the month. Other GCC countries sent $320.69 million in June compared with $392.71 million in May.

Remittances from the United Kingdom declined to $514.87 million in June from $645.48 million in May, while inflows from the United States fell to $296.79 million from $349.05 million.

The European Union countries contributed $415.37 million in June, compared with $465.81 million in May. Within the EU, Italy remained the largest source with $121.13 million, followed by Spain at $74.52 million, Germany at $64.78 million, Greece at $46.89 million and France at $42.43 million.

Among other major countries, remittances from Australia stood at $82.49 million in June, down from $106.71 million in May. Inflows from Canada declined to $60.78 million from $79.63 million, while Japan sent $7.01 million, South Africa $22.19 million and South Korea $8.52 million.

The SBP data shows that the June decline was broad-based across major corridors, including Saudi Arabia, the UAE, the UK, the US, other GCC countries and the EU. However, Gulf economies continued to dominate Pakistan’s remittance profile, underlining the country’s reliance on overseas workers in the region for foreign exchange inflows.

Credit: INP-WealthPk