Pakistan recorded a 26.6% increase in workers' remittances during the fiscal year 2024-25, reaching a record $38.3 billion, according to the State Bank of Pakistan. This surge was driven by higher inflows from countries including Saudi Arabia and the United States. In June 2025 alone, remittances amounted to $3.4 billion, marking a month-on-month decline of 8% but contributing to the overall annual growth. The total remittances, including non-banking channels, could exceed $50 billion. The central bank highlighted that remittances surpassed the ongoing IMF loan program. Additionally, the State Bank expects remittances in the current fiscal year to exceed $40 billion. The central bank held its benchmark interest rate steady at 11% amid rising inflation risks and tariff uncertainties, projecting inflation for fiscal year 2026 to remain within a 5-7% target range but potentially crossing the upper band in the coming months. It also revised real GDP growth estimates for FY25 to 3.25-4.25%, up from a provisional 2.7%, with expectations of better growth driven by agriculture.