Pakistan has recorded a substantial influx of remittances, totaling $150 billion from 2017 to 2022, securing its position as the fifth-largest recipient of remittances globally in 2022, according to the Saleh Kamel Islamic Economy Database.
The data was disclosed during the 2nd AlBaraka Regional Conference, focusing on the pivotal role of home remittances and their impact on sustainable development.
In 2022 alone, Pakistan received $29.9 billion in remittances, contributing significantly to the global remittance total of $758 billion. Of this amount, OIC (Organisation of Islamic Cooperation) countries received $193 billion, constituting 25.5% of the overall global remittances.
Home remittances play a crucial role in Pakistan’s economic landscape, representing 33% of total imports. This places Pakistan as the second-highest recipient among OIC countries and the fifth globally in 2022.
The 2nd AlBaraka Regional Conference, hosted by the AlBaraka Forum for Islamic Economy in collaboration with the Islamic Chamber of Commerce and Development (ICCD), delved into the importance of these remittances in fostering economic integration and sustainable development.
Yousef Khalawi, Secretary-General of the AlBaraka Forum for Islamic Economy, emphasized the need for collaboration between governments and financial institutions to establish secure, user-friendly, and legal channels for remittances while fostering connections with international financial institutions.
The event concluded with the presentation of policy frameworks and future outlooks for home remittances.
Stakeholders underscored the importance of streamlining remittance flows to contribute to sustainable economic growth. They also explored future trends and emphasized the collective effort needed to develop innovative strategies to enhance the positive impact of remittances on the national economy.
The conference aimed to foster dialogue among leading experts, decision-makers, and stakeholders to strengthen Islamic finance tools, align remittance strategies with Sustainable Development Goals (SDGs), and navigate the evolving global remittance landscape.
