State Bank of Pakistan (SBP) Governor Jameel Ahmad has highlighted the contribution of overseas Pakistanis’ remittances to the country’s external account position, saying the continuous flow of remittances has enabled Pakistan to achieve its lowest current account deficit and rebuild its foreign exchange reserves. He made the remarks while addressing members of the Pakistani diaspora at the RDA & Remittance Roadshow in London, where the central bank governor discussed the importance of overseas inflows and the role of formal financial channels in supporting Pakistan’s economy. Remittances sent by Pakistanis working and living abroad remain an important source of foreign exchange for the country, providing households with funds while also contributing to the broader balance of payments. The remarks underline the significance of maintaining a consistent flow of remittances through regulated banking and financial channels as Pakistan works to improve its external-sector position.
According to Governor Ahmad, the sustained inflow of remittances has supported two key areas of Pakistan’s external finances: the current account and foreign exchange reserves. A current account deficit occurs when a country’s payments to the rest of the world for goods, services, income, and transfers exceed its receipts, while foreign exchange reserves provide the country with a buffer for meeting external payment requirements and supporting financial stability. Stronger remittance inflows can contribute to the external account by bringing additional foreign currency into the country. The SBP has therefore continued to focus on facilitating remittance flows through formal channels and improving the overall experience for overseas Pakistanis sending money to Pakistan. The governor’s comments in London placed particular emphasis on the role played by the Pakistani diaspora in supporting these financial flows and their wider impact on the country’s external position.
The event also focused on the Roshan Digital Account (RDA), a digital banking facility designed to enable non-resident Pakistanis to access banking and investment services in Pakistan remotely. The RDA initiative has been part of efforts to provide overseas Pakistanis with convenient formal channels for sending funds and participating in Pakistan’s financial system. Remittance-focused roadshows provide an opportunity for financial institutions and the central bank to engage directly with the diaspora and explain available banking channels and products. Greater awareness of formal remittance mechanisms can support the movement of funds through regulated financial institutions while providing overseas Pakistanis with access to services offered through Pakistan’s banking sector. The London roadshow therefore served as a platform for engagement with the Pakistani diaspora around remittances and digital banking services, while also highlighting the broader contribution of overseas Pakistanis to Pakistan’s external finances.
Governor Ahmad’s remarks come as remittances continue to remain an important component of Pakistan’s foreign exchange inflows. Their contribution extends beyond individual recipients, as sustained foreign currency inflows can also affect the country’s external financing position and reserve accumulation. The SBP has sought to encourage overseas Pakistanis to use formal banking channels for sending money to the country, with digital initiatives such as Roshan Digital Accounts providing additional avenues for financial engagement. The focus on remittances also reflects the connection between Pakistan’s large overseas community and the domestic financial system. Continued engagement with the diaspora can help maintain awareness of available banking and remittance services while supporting the flow of funds through regulated channels. At the London event, the SBP governor’s message emphasized that the consistent contribution of overseas Pakistanis has played a role in improving Pakistan’s current account position and rebuilding its foreign exchange reserves.
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