JS Securities Limited - JS Research.

Karachi -- May 19, 2021 (PPI-OT)

Remittances reach record-high in April

Workers' remittances rose to a record-high during Apr-2021, amounting to US$2.78bn, compared to US$2.73bn in Mar-2021 (up 2% MoM). On YoY basis, growth in remittances stood at 56% for the month.

This was the eleventh consecutive month of remittances crossing US$2bn, which has become somewhat of a norm now. As per the central bank's statement, factors that have driven remittances growth include (1) initiatives to encourage formal channels for inflows, (2) less frequent cross border travel amid the pandemic, (3) pandemic-induced relief inflows, (4) relatively stable FX market scenario, and (5) Eid inflows.

On MoM basis, growth in remittances was mainly on account of higher inflows from UK (16% MoM)...