Pakistan has told the International Monetary Fund (IMF) that remittances could rise to $43 billion this year as overseas Pakistanis are likely to send more money home in the aftermath of the floods.
The inflow is expected to offset weaker exports and help keep the current account deficit in check.
In a report, Express Tribune said remittances had already grown 7% and could climb to 12%, driven by support from expatriates, particularly from flood-hit districts in Punjab, along with exchange rate stability, Eid-related inflows, lower global inflation, and incentives for formal transfer channels.
Authorities noted that after the 2010 floods, remittances also rose significantly, and a similar trend is anticipated this year.
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The IMF was informed that despite the disaster, inflation is projected to remain near 7% and GDP growth close to 4%.
