Pakistan witnessed the departure of over 762,000 citizens in 2025, according to the Finance Ministry, with the exodus playing a crucial role in supporting the nation’s economy amid declining foreign direct investment and exports. The Bureau of Emigration & Overseas Employment registered 762,499 workers leaving the country during the calendar year, marking a 5% increase from the previous year.
In December 2025 alone, 76,207 Pakistanis migrated, reflecting an 18.7% increase on an annual basis. Among the total, approximately 530,000 went to Saudi Arabia in search of better employment opportunities. The migration trend spans unskilled, skilled, and highly qualified professionals, highlighting the widespread search for improved livelihoods amid low economic growth and political instability in Pakistan.
Remittances from overseas Pakistanis have emerged as the largest source of non-debt creating foreign inflows. During the first half of the current fiscal year, Pakistani workers sent home $19.7 billion, an increase of 11% compared to the previous period. The government effectively receives around $40 billion annually from overseas workers, far surpassing the $808 million in foreign direct investment during the same period. Remittances were also $4.2 billion higher than the $15.5 billion in exports recorded during the first half of the fiscal year.
Despite efforts to boost exports and attract foreign direct investment, the Finance Ministry reported a 44% decline in FDI during the first half of the fiscal year, dropping from $1.4 billion to $808 million. Factors such as inconsistent economic policies, high taxes, energy prices, and elevated interest rates continue to deter foreign investors, compounded by unresolved inter-provincial issues.
The current account posted a deficit of $1.2 billion during July-December 2025, compared to a surplus of $960 million the previous year. However, robust remittance inflows, combined with steady performance in information technology and services exports, helped cushion external pressures. Fiscal management improvements also supported macroeconomic stability.
The Finance Ministry reported that Pakistan achieved a fiscal surplus during July-November 2025 due to revenue growth and reduced mark-up payments. Gross federal revenue receipts increased by 8%, driven by both FBR taxes and non-tax revenues. The consolidated fiscal surplus reached 0.8% of GDP, equivalent to Rs982 billion, while a primary surplus of 2.8% of GDP, or Rs3.7 trillion, was recorded.
Large-scale manufacturing (LSM) also registered positive growth of 6% during the first five months of the fiscal year, the highest since FY2016. In November 2025, LSM grew by 10.4% year-on-year, with automobiles, coke and petroleum products, and wearing apparel contributing significantly. The sustained growth in LSM, combined with strong remittances, contained inflation, stabilized foreign exchange reserves, and maintained macroeconomic stability.
The Finance Ministry stated that the economy is well-positioned to sustain growth momentum for the remainder of the fiscal year, reflecting the impact of structural reforms, prudent fiscal policies, and easing monetary conditions. Robust remittance inflows and improved LSM performance are expected to continue supporting Pakistan’s external account and overall economic stability.
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