European Union: Fastest Growing Source of Remittances to Pakistan
Remittances from the European Union (EU) to Pakistan soared 49.7% in FY 21 and 28.3% in FY22, according to the State Bank of Pakistan. With $2.5 billion remittances in the first 9 months (July-March) of the current fiscal year, the EU ($2.5 billion) has now surpassed North America ($2.2 billion) to become the third largest source of inflows to Pakistan after the Middle East and the United Kingdom. Remittances from the US have grown 21%, second fastest after the EU (28.3%) in the first 9 months of the current fiscal year.
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| Country-wise Remittance Inflows in Pakistan. Source: State Bank of Pakistan |
Pakistanis in European Union:
The population of Pakistan-born migrants to European Union countries has been growing in recent years. With over 120,000 Pakistani migrants, Italy is the most popular destination for Pakistanis in the EU.
Italy is followed by Germany with 75,495 Pakistani migrants. Then comes Spain with 61,953 migrants, France 21,900 (2017), Sweden 11,674, Denmark 10,669, Ireland 7,351 (2016), Belgium 5,927, Portugal 5,310, Norway 5,157, Netherlands 4,723 and Austria 4,112. There are smaller populations of Pakistanis in several other European countries.
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| Pakistan-born Migrants in European Union. Source: OECD |
With $5.74 billion in the first 9 months of current fiscal year FY22, Saudi Arabia remains the top source of remittances to Pakistan, followed by $4.28 billion from the United Arab Emirates (UAE). However, the Saudi remittances are essentially flat while those from the UAE have declined 5.3% in this period. Pakistani diaspora is sending home over $30 billion a year, about 10% of the country's GDP. It is badly needed foreign exchange to balance Pakistan's external accounts.
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| Pakistanis in Italy. Source: Italian Government |
Pakistan's Worldwide Diaspora:
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| Pakistan Demographics |
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| Projected Population Decline in Emerging Economies. Source: Nikkei Asia |
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Comments
SBP
@StateBank_Pak
Remittances crossed the monthly mark of US $3 billion for the first time. Cumulatively, at $26.1 billion, remittances grew by 7.6 % in the ten months of FY22 compared to last year.
https://www.sbp.org.pk/ecodata/Homeremit.pdf
https://twitter.com/StateBank_Pak/status/1525003527818469378?s=20&t=mxMP2xDzZxS6JamTtFHE0g
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Arif Habib Limited
@ArifHabibLtd
Monthly remittances reach highest ever during Apr’22, up by 12% YoY
Apr’22: $ 3.13bn, +12% YoY | +11% MoM
10MFY22: $ 26.08bn, +8% YoY
https://twitter.com/ArifHabibLtd/status/1525007593323765760?s=20&t=F8npzRfgFy_5U14SHx-WRw
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KARACHI, Pakistan : Remittances from Pakistani workers employed abroad exceeded a record $3 billion in April, the central bank said on Friday as the country’s foreign reserves dwindled to $16.37 million due to external debt payments.
https://www.channelnewsasia.com/business/pakistans-remittances-hit-all-time-monthly-high-3-billion-april-2683406
“Remittances in April (were) $3.1 billion..., crossing $3 billion for the first time ever,” the State Bank of Pakistan said in a statement.
The surge in remittances have been critical in restraining rises in the current account deficit though it has swelled to $13.1 billion in the first nine months of fiscal year 2022.
In terms of growth, remittances in April increased by 11.2 per cent on a month-on-month basis and 11.9 per cent year-on-year.
Cumulatively, at $26.1 billion, remittances grew by 7.6 per cent during the first 10 months of fiscal year 2022, compared with the 2021 fiscal period, the central bank statement said.
Pakistan is in dire need of external financial support due to a widening current account deficit with foreign reserves down to $10.37 million held by the central bank as of May 6 - equivalent to less than two months of imports.
Another $6.06 million in foreign reserves was held by commercial banks as of last week.
Prime Minister Shahbaz Sharif took over last month after a parliamentary no-confidence vote ousted his predecessor Imran Khan, who was blamed for mishandling the economy.
Sharif's government, however, has yet to implement reform policies such as curtailing costly energy subsidies, which were introduced by Khan's government in his last days in power as he faced mounting pressure over soaring inflation.
Remittances came mainly from Saudi Arabia with $707 million, the United Arab Emirates with $614 million, Britain with $484 million and the United States with $346 million, the central bank said, citing cumulative figures.
@afkhwaja
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3h
This is the total dollar inflow in Pakistan over the past 5 years. Look how less important IMF/US/China/Saudi are compared to inflows from overseas Pakistanis. If only we gave them this much importance !
https://twitter.com/afkhwaja/status/1525107929397047297?s=20&t=mxMP2xDzZxS6JamTtFHE0g
FY17-22E
Remittances: $145 billion
Saudi Arabian Support $10 billion
IMF $4.5 billion
China $4.3 billion
US FDI $805 million
@StateBank_Pak
Current Account Deficit shrunk to $623mn, in Apr 22; only two-thirds of Mar22 deficit of $1015mn. A rise in workers’ remittances (by $315mn) & a fall in imports (by $246mn) explain this reduction. Cumulatively, CAD reached $13,779mn during Jul-Apr FY22.
https://www.sbp.org.pk/ecodata/Balancepayment_BPM6.pdf
https://twitter.com/StateBank_Pak/status/1527350717580660743?s=20&t=LvT-wTgMp-e2I1iGiymefw
https://www.worldbank.org/en/news/press-release/2022/05/11/remittances-to-reach-630-billion-in-2022-with-record-flows-into-ukraine
https://www.knomad.org/publication/migration-and-development-brief-36
Remittances to South Asia grew 6.9 percent to $157 billion in 2021. Though large numbers of South Asian migrants returned to home countries as the pandemic broke out in early 2020, the availability of vaccines and opening of Gulf Cooperation Council economies enabled a gradual return to host countries in 2021, supporting larger remittance flows. Better economic performance in the United States was also a major contributor to the growth in 2021. Remittance flows to India and Pakistan grew by 8 percent and 20 percent, respectively. In 2022, growth in remittance inflows is expected to slow to 4.4 percent. Remittances are the dominant source of foreign exchange for the region, with receipts more than three times the level of FDI in 2021. South Asia has the lowest average remittance cost of any world region at 4.3 percent, though this is still higher than the SDG target of 3 percent.
https://arynews.tv/pakistan-receives-record-remittances-from-european-countries/
According to details, overseas Pakistanis residing in the EU countries sent over $2.8 billion in remittances in the first 10 months (July-April) of the fiscal year 2021-22. The amount received in these 10 months is 27.1% higher than the amount received at the same time last year. the remittances received by Paksitan at the same time last year were $2.20 billion.
The highest number of overseas Pakistanis in Europe are in Italy and that shows in the number of remittances as well. Overseas Pakistanis in Italy sent $701 million in remittances from July 2021 to April 2022. The amount is 47% higher than the amount sent by Italian Pakistanis last year which was $295.5 million.
According to details, the second-highest remittances, $300 million, were sent from Greece. There was a 41 per cent hike in the remittances sent from Greece in comparison to the last fiscal year. Remittances received from Greece last year amounted to $215 million.
The third highest remittances among European countries were sent from Holland, with an amount of $50.2 million received from July 2021 to April 2022, which is 30% higher than the last year.
While the fourth-highest remittances among EU countries were sent from Spain, with an amount of $42 million which is 30.1% higher than last year.
https://thefintechtimes.com/remittances-are-a-lifeline-for-developing-countries-with-economic-instability/
Remittances sent worldwide have increased 64.3 per cent in the past decade, rising from $420.1billion 10 years’ ago to $653.4billion in the last year, shows research by ACE Money Transfer, the online remittance provider.
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Global economic growth is expected to slump from 6.1 per cent last year to 3.2 per cent this year — significantly lower than the 4.1 per cent anticipated in January. This is due to rising interest rates and spiralling inflation. This slowdown in growth is expected to hit low-income countries harder.
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Remittances also play a key role in urban areas, helping drive investment into real estate and infrastructure in developing countries.
Rashid Ashraf, CEO of ACE Money Transfer, says, “Remittances have a massive impact on people’s lives across the world. When times are tough and economies are struggling, this is when remittances are particularly important.
“Around three-quarters of remittances sent globally are used to cover essential things, like putting food on the family’s table and covering medical expenses, school fees or housing expenses. In addition, in times of crises, migrant workers tend to send more money home to cover loss of crops or family emergencies.”
Countries facing significant economic stress at present include Sri Lanka, Pakistan, Nigeria and Nepal. Remittances play a key role in supporting the economies of all mentioned countries.
Remittances key to helping Sri Lanka and Nepal’s struggling economies
Sri Lanka in particular has struggled following the pandemic, with its economy having collapsed. The country has been short of cash to pay for vital food and fuel imports and has defaulted on its debt.
Remittances are a key pillar of Sri Lanka’s economy, reaching $7.1billion in the past year, up from $6.7billion the previous year. Remittances in Sri Lanka support economic growth, reduce the burden on social security payments and help alleviate poverty. Increases in remittances could significantly aid Sri Lanka’s economic recovery.
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How remittances can help moderate inflation in Pakistan and Nigeria
Pakistan and Nigeria are two other countries facing economic difficulties where remittances can play a key role in their recoveries. Both countries have been struggling with the effects of surging inflation this year.
Pakistan’s currency has devalued 28 per cent compared to the US dollar so far this year, fuelling surges in the prices of vital imported goods such as fuel, cooking oil and grains.
This has made remittances to Pakistan, which have risen 26 per cent to a record $33billion in the past year, even more important. Remittances are a key source of foreign currency for Pakistan and play a significant role in supporting its currency. This is in turn can help control inflation and the price of essential goods and services in the country.
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The role of remittances in strengthening resilient economies like the Philippines
Remittances can also play an important role in countries where the economy has remained resilient. This includes the Philippines’ economy, which has continued to show rapid expansion this year despite global headwinds.
An important stabilising factor in its economy has been remittances, which have reached a record high of $34.9billion in the past year. Remittances in the Philippines are important in supporting domestic consumer spending, which has driven the country’s economic growth.
Remittances are a crucial source of foreign capital for many developing countries. Unlike other flows of private capital, remittances have remained resilient throughout the pandemic. As economics across the world continue to recover, remittances continue to play a vital role in helping countries build resilience and drive economic growth.
https://www.euronews.com/travel/2022/09/06/skilled-workers-are-in-demand-as-germany-tackles-labour-shortage-with-new-points-based-vis
The ‘chancenkarte’ will use a points system to enable workers with required skills to come to Germany more easily.
It is part of a strategy proposed by Labour Minister Hubertus Heil to address the country’s labour shortages, which is due to be presented to the government this autumn.
Every year, quotas will be set depending on which industries need workers. Three out of four of the following criteria must also be met to apply for the scheme:
A degree or vocational training recognised by Germany
Three years’ professional experience
Language skills or a previous stay in Germany
Under 35 years old
Currently, most non-EU citizens need to have a job offer before they can relocate to Germany. A visa for job seekers already exists, but the 'chancenkarte' is expected to make it easier and faster for people looking to find work in Germany.
Citizens of certain countries with visa agreements can already enter Germany for 90 days visa-free but are only permitted to take up short-term employment.
The opportunity card will allow people to come and look for a job or apprenticeship while in the country rather than applying from abroad. Applicants must be able to prove they can afford to pay their living expenses in the mean time.
The exact details of the scheme are yet to be formalised.
Why does Germany need to attract skilled workers?
This year, the shortage of skilled workers in Germany has risen to an all time high. Earlier this year, the Institute for Employment Research (IAB) found 1.74 million vacant positions throughout the country.
In July, staff shortages affected almost half of all companies surveyed by Munich-based research institute IFO, forcing them to slow down their operations.
https://beoe.gov.pk/?__cf_chl_jschl_tk__=b1b4890b1c9705af3b244646c1cd140ad59f0f8a-1577426531-0-Aa7RUMV3c8t-qhTE_wsuXG88GqpOS3SMabeKgwCnn8PO1ZJYBDvkMO4w6yBOsrXLO6HMNxdolaCf201abOoKQn8NU4gXnLVBmFUbaSSfa4KACGuXEphZ-Wpph8DHxEtVFtH_nr3GpKtP5CCKSEDnMfnNes7Xq-dXpcOlCoO6icVLUUltg12JbgVKSxVgUZ7CtIDNT7WC6AqKIYyGIhk-uLlsnW0VYaWhYjeRDqqTPExfqB_E1oGyko049nDUaiNxQL7JRYlKIkcGUVzYTraqiok
Overseas migration of Pakistanis is also diversifying, with an increasing number of migrants going to America and Europe. This is reflected in remittance sources. EU countries are now the fastest growing source of remittances to Pakistan.
https://www.riazhaq.com/2022/05/european-union-fastest-growing-source.html
The data shows that a lot more of the migrants are now skilled labor while the share of unskilled migrants is declining.
Here's an ILO report excerpt:
"Pakistani migrant workers were skilled
(42%) and involved in semi-skilled jobs such as welders, secretaries, masons, carpenters, plumbers and so
on. Another proportion of the labour migration was composed of unskilled labourers (39%) such as
agriculturists, labourers or farmers. Projections about future trends indicate that the number of Pakistani
labour migrants will continue rising to reach 15.5 million in 2020 (Government of Pakistan, 2018"
https://migration.iom.int/sites/g/files/tmzbdl1461/files/reports/Pakistan%20Migration%20Snapshot%20Final.pdf
"While migration to Pakistan has a strong cross-border dimension, the main destination countries of the large Pakistani diaspora are scattered across the world. In 2017, 22 per cent of the 6 million Pakistani emigrants lived in Saudi Arabia, 18 per cent in India, 16 per cent in the United Arab Emirates, 15 per cent in Europe and 6 per cent in the United States of America (Figure 3)"
https://migration.iom.int/sites/g/files/tmzbdl1461/files/reports/Pakistan%20Migration%20Snapshot%20Final.pdf
According to the 2020 International Migrant Stock compiled by UNDESA4, a total of 952,993 Pakistani nationals resided in Europe in 2020. Fifty-eight per cent of them were male and forty-two percent were female. The number of Pakistani nationals in each European country in 2020 is shown in Annex 1, together with gender-disaggregated numbers. UNDESA estimates the number and composition of migrants on the basis of data obtained from population censuses, population registers and national surveys. The dataset provides estimates of the international migrant stock by age, sex and origin for the mid-point (1 July) of each year: 1990, 1995, 2000, 2005, 2010, 2015 and 2020.
https://migration.iom.int/sites/g/files/tmzbdl1461/files/reports/PAK_2021_Migrant%20Presence_Europe.pdf
European Countries Total Migrants Male Female
Denmark 14,318 7,503 6,815
Estonia 261 195 66
Finland 3,134 2,090 1,044
Iceland 94 69 25
Ireland 10,570 6,667 3,903
Latvia 228 204 24
Lithuania 7 3 4
Norway 21,140 10,853 10,287
Sweden 16,597 9,891 6,706
United Kingdom 537,047 282,645 254,402
Greece 8,823 4,435 4,388
Italy 124,800 89,557 35,243
Malta 549 300 249
Portugal 2,217 1,469 748
Slovenia 42 31 11
Spain 63,819 41,074 22,745
Austria 6,097 4,076 2,021
Belgium 13,246 8,143 5,103
France 27,203 16,341 10,862
Germany 79,227 53,993 25,234
Liechtenstein 7 5 2
Luxembourg 279 169 110
Switzerland 5,381 3,304 2,077
The Netherlands 14,104 8,030 6,074
Bulgaria 290 182 108
Hungary 1,055 780 275
Poland 278 257 21
Romania 625 438 187
Russia 726 579 147
Slovakia 122 110 12
The Czech Republic 662 501 161
https://beoe.gov.pk/?__cf_chl_jschl_tk__=b1b4890b1c9705af3b244646c1cd140ad59f0f8a-1577426531-0-Aa7RUMV3c8t-qhTE_wsuXG88GqpOS3SMabeKgwCnn8PO1ZJYBDvkMO4w6yBOsrXLO6HMNxdolaCf201abOoKQn8NU4gXnLVBmFUbaSSfa4KACGuXEphZ-Wpph8DHxEtVFtH_nr3GpKtP5CCKSEDnMfnNes7Xq-dXpcOlCoO6icVLUUltg12JbgVKSxVgUZ7CtIDNT7WC6AqKIYyGIhk-uLlsnW0VYaWhYjeRDqqTPExfqB_E1oGyko049nDUaiNxQL7JRYlKIkcGUVzYTraqiok
Since inception of the Bureau in the year 1971, more than 10 million emigrants have been provided overseas employment duly registered with the Bureau of Emigration & Overseas Employment. During the year 2015, highest number of Pakistanis(946,571) proceeded abroad for the purpose of employment. During the year 2022 (December), 832,339 Pakistanis proceeded abroad for the purpose of employment.
https://propakistani.pk/2023/05/18/uk-adds-226-new-visa-categories-to-urgently-hire-skilled-workers/
Exciting opportunities have emerged for Pakistani youth seeking employment abroad as the United Kingdom opens its doors to skilled workers from around the world, including Pakistan.
In response to the severe manpower shortage currently faced by Britain, the country has introduced a significant expansion in its immigration policies.
According to official reports, a total of 226 new immigration categories have been established, accompanied by a noteworthy increase in the minimum wage across all job categories.
This development marks the first time that professions such as police officers, journalists, judges, secret officers, barristers, lawyers, and flight pilots have been included in the immigration category. Furthermore, an additional 31 categories have been designated, encompassing diverse fields such as musicians, dancers, doctors, actors, and scientists.
The expanded opportunities extend beyond specific professions, as drivers, instructors, railway station assistants, air hostesses, cabin crew, veterinary doctors, and tailors are now eligible to pursue employment in the UK. Moreover, individuals with expertise in areas such as masonry, aircraft engineering, AC/fridge engineering, welding, charity work, and estate agency will also find potential avenues for relocation.
Students pursuing education in the UK can now benefit from the post-study work facility, which allows them to gain valuable work experience following the completion of their studies. Notably, highly-educated professionals can anticipate a substantial 20 percent increase in their remuneration, as highlighted in the official letter.
To facilitate the approved manpower shortage category, the UK government has taken steps to keep visa fees at a reasonable level, ensuring accessibility for individuals seeking employment opportunities in the country.
These progressive changes in the UK’s immigration policies provide an encouraging prospect for skilled workers from Pakistan and around the world. The reduced visa fees and the inclusion of a diverse range of professions reflect the British government’s commitment to addressing the pressing shortage of manpower while simultaneously welcoming talented individuals to contribute to the country’s workforce.
Aspiring professionals from Pakistan are encouraged to explore these newfound possibilities, which not only promise career growth but also cultural exchange and personal development. The opportunities available in the UK cater to a wide spectrum of skills and talents, fostering an environment where individuals can thrive and make significant contributions to their chosen fields.
With these favorable policy revisions, Pakistanis can now embark on a transformative journey, utilizing their expertise to build successful careers and establish meaningful connections in the United Kingdom.
Pakistanis
People 61,915
Male 37,720
Female 24,195
Australian citizen 42.3%
Not an Australian citizen 56.0%
https://www.abs.gov.au/census/find-census-data/quickstats/2016/7106_0
Indians
People 455,388
Male 245,416
Female 209,972
Australian citizen 48.1%
Not an Australian citizen 50.8%
https://www.abs.gov.au/census/find-census-data/quickstats/2016/7103_0
Hundreds still missing after migrant vessel capsizes in Mediterranean Sea
https://asia.nikkei.com/Politics/International-relations/Greece-shipwreck-highlights-Pakistan-human-smuggling-woes#
About 40,000 Pakistanis a year leave the country through unofficial channels. Up to 90% of Pakistani migrants who reached Italy relied on smugglers and other illegal means, according to the Mixed Migration Centre, a Europe-based research group.
Some 34,000 were deported back to Pakistan last year from Europe, but that has not stopped the smugglers, who advertise widely on social media. Known by their slang name "dunkers," the smugglers can be found on Facebook offering to transport migrants overland from Pakistan to Turkey for between 200,000 and 400,000 rupees ($700 and $1,400) each.
Pakistani immigration lawyer Ahmed Jamal told Nikkei that human smugglers ply different routes to reach Europe, depending on how much they are paid. Most of the migrants on the capsized vessel are thought to come from the northern region of Kashmir, with some paying up to 2.3 million rupees to smugglers, local media reported.
"Those who pay high amounts are flown to North Africa legally, and from there transported to Europe on ships," Jamal said. Pakistanis who can't afford the flight to North Africa are often transported by a perilous land route to Greece, via Iran and Turkey.
The suspected smugglers in last week's disaster are expected to face manslaughter charges in Greece, while Pakistan said it has arrested a dozen suspects since the sinking.
The United Nations High Commissioner for Human Rights has called for countries to clamp down on human trafficking in the wake of the tragedy, but the smuggling problem in Pakistan is driven by more than economic woes and weak law enforcement.
Corrupt officials willing to look the other way in exchange for bribes is another key issue, according to a former immigration official, who spoke on condition of anonymity. He told Nikkei that his efforts to crack down on smuggling rackets got him quickly transferred.
The government should step up its monitoring of travel consultants and how passports are issued in districts hit hardest by the migrant exodus, said the immigration lawyer, Jamal, adding that Islamabad must reach out for technical assistance.
"Developed countries will provide all possible help to Pakistan for preventing illegal migration because it's in their national interest," he added.
https://www.washingtonpost.com//world/2023/06/21/titanic-submersible-greece-migrant-ship-pakistan/
On social media, some Pakistanis pointed to the grim spectacle of compatriots from opposite ends of a great socioeconomic divide disappearing in the watery depths at the same time. Pakistan is in the middle of a devastating economic crisis, with the rate of inflation at a 50-year high, food shortages, energy blackouts and mounting unemployment. The conditions have compelled numerous people, especially among the poor, to seek a better life abroad.
“The desperate situation has led to the mushrooming growth of people smugglers in Pakistan,” wrote Zahid Shahab Ahmed, a senior research fellow at the Alfred Deakin Institute for Citizenship and Globalization in Australia. “In exchange for large sums of money, they offer people transportation, fake documentation and other resources for a swift departure from the country.”
“It is bad enough that the spectacular failure of the government to fulfill its part of the social contract by providing economic security to its citizens drives desperate individuals — even the educated ones — to leave the country,” noted a Monday editorial in Dawn, a Pakistani daily, further lamenting that “an inept, uncaring government has made little effort to crack down on a vast network of human smugglers who fleece desperate individuals and put them on a path strewn with hazards.”
Pakistani Prime Minister Shehbaz Sharif declared Monday a national day of mourning, while authorities in various parts of the country arrested people suspected of links to human-trafficking networks. “Our thoughts and prayers are with you, and we pray that the departed souls find eternal peace,” the chairman of Pakistan’s Senate, Muhammad Sadiq Sanjrani, said, vowing to take on the people smugglers.
That may be cold comfort to many Pakistanis, who live in what by some measures is South Asia’s most unequal society, one long dominated by influential, quasi-feudal potentates. Sharif himself is a scion of a political dynasty that also has huge business interests.
https://www.cnn.com/2023/06/21/asia/pakistan-greece-boat-tragedy-kashmir-village-intl-hnk/index.html
Bandali, Pakistan-administered Kashmir
CNN
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An air of melancholy engulfs the small village of Bandali in Pakistan-administered Kashmir, where hopes are fading fast for nearly two dozen residents who went abroad in search of a better life and have since disappeared.
Families fight back tears as they yearn to hear what may have happened to their loved ones – all migrants aboard the boat, reportedly known as the Adriana, an overcrowded fishing trawler that capsized off the coast of Greece last week, killing at least 81 people and leaving hundreds more missing.
In Pakistan, authorities said more than 300 of its nationals died in the tragedy, but did not specify how they received the information. On Thursday, the Federal Investigation Agency of Pakistan said it has confirmed 92 deaths in the incident by collecting DNA samples of family members who reported their loved ones as missing to assist with the identification of victims.
Bandali, population 12,000, is just one of many Pakistani communities reeling from the disaster – about 22 people from this village alone remain unaccounted for, according to residents.
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Jabbar, 36, paid a human trafficker more than $7,500 in the hope of making it to Italy, traversing thousands of miles across dangerous routes from his home country to give his young daughters a better future, Anwar told CNN. Jabbar left his two daughters in the village while he went ahead with the journey.
Pakistan, a nation of about 220 million, is in the throes of its worst economic crisis in decades. Work is scarce; inflation is soaring; and essentials including food and fuel are increasingly costly.
The precise route Jabbar and his three family members took is unclear. But they arrived in Libya days before boarding the ill-fated boat there, aiming for their final destination: Italy.
Phone conversations between Anwar and Jabbar in the days leading up to the tragedy highlight the grim conditions faced by those making a trip controlled by a lucrative and all too often merciless network of international smugglers.
https://www.aa.com.tr/en/americas/former-us-president-obama-slams-western-hypocrisy-over-migrants/2929144
That more attention is being paid to Titanic submersible than migrant boat sinking off Greece is ‘rotten,’ he says
Ahmet Gencturk |
Former US President Barack Obama on Thursday slammed the hypocrisy of Western media concerning migrants and particularly in reference to the recent sinking of a migrant boat off southwestern Greece in which at least 82 people died and hundreds more are feared to have drowned.
The fact that more attention is being paid to a submersible carrying five people that vanished off the coast of Newfoundland, Canada while on a tour of the Titanic’s wreckage than the migrant boat sinking off Greece with up to 700 people on board is “rotten,” he said during an appearance in the Greek capital Athens. He came to participate in the Stavros Niarchos Foundation’s Nostos 2023 conference.
“That's an untenable situation. And, you know, the notion that we can't do something about that is simply not true. We know we can do things for these people," Obama said in reference to the migrant flow to developed countries.
https://www.integrazionemigranti.gov.it/AnteprimaPDF.aspx?id=2924#:~:text=Overall%2C%20between%202010%20and%202018,in%20Italy%20as%20a%20whole).
Overall, between 2010 and 2018, almost 20,000 Pakistani children were born in Italy. 22,075 Pakistani students enrolled for academic year 2019/2020 (3.2% of the non-EU school population in Italy as a whole).
As to transfers (remittances) made by the Pakistanis in Italy to their country of origin, over 408 million euros were sent to
Pakistan in 2019 (approx. 8% of the total remittances sent to non-EU countries). Pakistan ranks third in terms
of remittances sent from Italy, after Bangladesh and the Philippines. Compared to 2018, there was a 15.2%
increase in remittances sent to Pakistan.
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MILAN:
The Pakistani diaspora in Italy of around 150,000 people is the largest in continental Europe. Most Pakistanis living in Italy are first-generation immigrants with limited education and are stuck working menial jobs picking fruit and vegetables, managing livestock, and working in factories.
But a new generation of Pakistani is coming of age, and they are set to have a different experience from their parents. Many of them were born in Italy or arrived as children; They have high school diplomas and university degrees and are working to build a life for themselves in Italy, which comes with a unique set of challenges.
Pakistani youth that have grown up in Italy are often sandwiched between two worlds, which can become a major source of friction. Social norms and religious values among young people in the Pakistani diaspora differ from their parents and grandparents, resulting in inter-generational conflicts. Young women bear the brunt of the trauma from these familial clashes as they become the victims of violence and murder in the most extreme circumstances for their behaviour.
In addition to family conflict, young Pakistanis must deal with barriers from the bureaucratic machinery of the Italian Government. As they reach adulthood, they need to get a tax code and a health card, and they need to register with the local municipality. When they start working, they need to negotiate with employers about terms and conditions of employment, decide if they want to be a full-time employee or a service provider, and start filing tax returns.
For people from Italy navigating these processes in their native language, transitioning into working life is relatively straightforward; They have friends and family members to guide them and a network of trade unions to provide them with services. But for young Pakistanis, these steps can be daunting and mistakes costly if they result in sanctions and fines.
https://tribune.com.pk/story/2350726/pakistanis-in-italy-searching-for-belonging-on-foreign-shores
– A MULTIPLE SOURCE SNAPSHOT
https://dtm.iom.int/sites/g/files/tmzbdl1461/files/reports/PAK_2021_Migrant%20Presence_Europe.pdf
According to the 2020 International Migrant Stock compiled by UNDESA4, a total of 952,993 Pakistani nationals resided in Europe in 2020. Fifty-eight per cent of them were male and forty-two percent were female.
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NUMBER OF PAKISTANI MALES AND FEMALES IN EUROPE, UNDESA - 2020
European Countries Total Migrants Male Female
Denmark 14,318 7,503 6,815
Estonia 261 195 66
Finland 3,134 2,090 1,044
Iceland 94 69 25
Ireland 10,570 6,667 3,903
Latvia 228 204 24
Lithuania 7 3 4
Norway 21,140 10,853 10,287
Sweden 16,597 9,891 6,706
United Kingdom 537,047 282,645 254,402
Greece 8,823 4,435 4,388
Italy 124,800 89,557 35,243
Malta 549 300 249
Portugal 2,217 1,469 748
Slovenia 42 31 11
Spain 63,819 41,074 22,745
Austria 6,097 4,076 2,021
Belgium 13,246 8,143 5,103
France 27,203 16,341 10,862
Germany 79,227 53,993 25,234
Liechtenstein 7 5 2
Luxembourg 279 169 110
Switzerland 5,381 3,304 2,077
The Netherlands 14,104 8,030 6,074
Bulgaria 290 182 108
Hungary 1,055 780 275
Poland 278 257 21
Romania 625 438 187
Russia 726 579 147
Slovakia 122 110 12
The Czech Republic 662 501 161
https://economictimes.indiatimes.com/news/politics-and-nation/after-uk-italy-hosts-biggest-indian-diaspora-in-europe/articleshow/74764808.cms
While the entire global media attention is on China’s inroads in Italy, it is a lesser known fact that around 200,000 Indians, including students resided in Italy at the time of the virus outbreak. From better working and living conditions to higher education opportunities, Italy has attracted many Indians over the past 20 years. The small and medium scale industries in Italy have also attracted Indian entrepreneurs. As a tourist destination with smooth and direct connectivity, Italy has attracted a lot of Indians.
In his book ‘India Moving: A History of Migration’, Chinmay Tumbe, an IIM-Ahmedabad faculty member and author says: “The total number of Indians in Italy has now crossed 200,000, making it the largest Indian diaspora in Continental Europe and far greater than the 30,000 estimated in Spain. This Indian contingent is mainly made up of Punjabi Jat Sikhs. These people toil away in the dairy and agricultural sectors of northern Italy. They are now known as “cow--milkers” or bergamini, in Italian…Apart from Punjabis, Roman Catholic Keralites can also be found working in the domestic service sector in and around Rome.” Official figures from both sides put the figure of the Indian community, including the diaspora, at around 180,000. In northern and central Italy, Indians are spread across the large cities of Rome, Florence, Milan, Turin, Bologna and Parma and are engaged in running small factories and small businesses. Ranjit Singh Singh, who went to Italy from Punjab in 1993, now runs an auto parts factory in the north Italian city of Cremona and employs 30 workers –– all of whom are from India.
#chaos #anarchy
https://economictimes.indiatimes.com/nri/migrate/why-indians-dont-want-to-be-indian-citizens-anymore/articleshow/101418122.cms
"The principal reason why people migrate is economic well being. Everyone wants a better life and their hope is that they would find it in another country," Amit Dasgupta, former Consul-General of India in Sydney, told IANS.
"In sociology, this is referred to as 'the push factor'. You are pushed out to a place which offers better prospects," Dasgupta said.Many Indian students who go for higher studies abroad also end up settling there as these countries provide them better jobs with attractive pay scales.According to the latest Education Ministry data, more than 770,000 Indian students went abroad to study in 2022 -- a six-year high.
Also, many Indian students find it tough to find jobs after returning home, which is why they apply for permanent residency in their country of study.
More than 90 per cent of the students do not wish to come back to India, say estimates.When it comes to India's rich, they want to swim in foreign waters to diversify their fortune, set up alternative residencies, conduct business and pursue a better quality of life even though India continues to be an attractive environment for business activity and corporate growth.
A 2020 Global Wealth Migration Review report said that among many reasons why people make the decision to migrate to other countries is safety of women and children, lifestyle factors like climate and pollution, financial concerns including taxes, better healthcare for families and educational opportunities for children, and to escape oppressive governments.A low passport score of a country can also make individuals emigrate.
A higher passport index ranking ensures one gets better access to travel visa-free to many countries.The Indian passport registered the largest global fall in the Passport Index 2023 -- ranking at 144th position this year with a mobility score of 70.
This means Indians can travel to 21 countries visa-free, and need a visa for 128 countries.In contrast, a Greece or Portugal residency card provides Indians visa-free travel across all Schengen countries.
https://www.vice.com/en/article/3adkp8/exploitation-punjabi-women-italy
In the heart of Italy’s farming industry, less than 100 kilometres from Rome, women of Punjabi origin face exploitation and workplace harassment.
Amrita has lived and worked in Italy’s farms half her life. The 30-year-old was born in the state of Punjab, India, where many in her community dream of a better life in Europe. When she was 15, she got the golden ticket and landed in Italy’s farming heartland, only 100 kilometres from Rome.
But the dreams she sought turned into a nightmare when she started facing workplace harassment while packaging tomatoes at an agricultural cooperative in Italy.
“To them, I am a prey, not a person. When you are a woman, especially an immigrant, alone and with a child, men — both Italians and Indians — feel free to torment you,” she told VICE World News.
Two years ago, Amrita’s husband abandoned her and their son and returned to India, where he remarried without divorcing her. While she was trying to come to terms with the shock and her new responsibilities as a single mother, she says she faced unprecedented harassment at work. “They see you alone, even on the street, and start stalking you,” she said. “If you are a single woman, they dub you as someone who is ‘easy’ and consequently, you end up being harassed.” Amrita and other women who spoke with VICE World News requested the use of pseudonyms for their safety.
More than 26,500 Indian women work in Italy, according to the Ministry of Labour and Social Policies. Like Amrita, many of them are Punjabi and work in the agricultural cooperatives of Agro Pontino.
A former marsh, Agro Pontino was controversially cleared of small communities and made into well-planned farming towns by Benito Mussolini in the 1920s and 1930s. The 200,000-acre area now supplies fruit, vegetables and flowers to businesses and supermarkets across Europe.
Amrita filed several complaints against men she worked with through Tempi Moderni, a nonprofit in Agro Pontino that helps farmers fight for their rights.
“The legal battle keeps getting delayed and is proving to be exhausting. It is causing me severe depression,” she said.
But Amrita is one of the fortunate ones – her legal status in Italy allows her to pursue legal action. Many immigrant Punjabi women working in agricultural cooperatives in Agro Pontino are exploited and harassed with impunity by gangster-slash-agents, known in Italian as caporali or capos.
The capos act as informal and illegal intermediaries used by farm owners to recruit and manage hundreds of workers, including undocumented immigrants, on Italian farms. Many capos are of Indian origin, and Punjabi women face serious exploitation from them. Since many cannot afford to lose their jobs, the capos have power to control, subjugate and harass them. In particular, the capos are known to harass and exploit Punjabi women in exchange for fair wages and renewed contracts.
Punjabi women VICE World News spoke to said many Indian capos harass them, inside and outside their cooperatives.
“As long as you entertain them, you stay in their good books, otherwise, you are blacklisted. Being blacklisted can often translate into isolation, being assigned some of the worst jobs such as packing vegetables or working in the open fields under harsh weather conditions for hours, failure to renew contract and, finally, dismissal, which also means an end of the residence permit,” Amrita said.
https://www.vice.com/en/article/3adkp8/exploitation-punjabi-women-italy
The community of agricultural workers in Agro Pontino is made up largely of Indian Punjabis, who began to settle in its towns Aprilia, Latina, Sabaudia and Terracina at the end of the 1980s to work in Agro Pontino’s agriculture and livestock sectors. Punjabi women arrived years after the men, during the first half of the 2000s. According to the 2022 interim report of the Parliamentary Commission of Inquiry on Working Conditions in Italy, many Punjabis find themselves in conditions of exploitation that can be compared to slavery in Italy.
Explaining this phenomenon as a “well-established system of importing low-cost labour” that starts from Punjab in India, Giovanni Gioia, secretary of the Italian General Confederation of Labour (CGIL) of Frosinone and Latina said, “The paradox is that these Punjabis do not want to work on their own lands in India and are on the lookout to emigrate by any means. In the hope of improving their condition, they get into debt with traffickers both at home and in Italy.”
Tempi Moderni was the first organisation to unveil the system of labour exploitation and trafficking of human beings in Agro Pontino in 2010.
“When we started our research, we discovered that the Punjabi community were not only paid less than a euro an hour, but were forced to work up to 12-14 hours in the greenhouse every day of the month,” Marco Omizzolo, the vice president of Tempi Moderni, told VICE World News.
According to the NGO WeWorld, the working and social conditions of Punjabi women in Italy are harsher and more prohibitive compared to those of Punjabi men.
Indian women are recruited only if there is a need for extra workers and are paid 30 percent less than what men earn. That means that if a male worker makes 4.50 euros an hour, a woman worker is offered only 3 euros an hour. Some women are also not properly compensated for the hours they work.
Many Punjabi women don’t speak up about workplace harassment out of fear of how their family will react. “If a man wants to call out workplace harassment, he can complain about the same, but if a woman wants to raise a grievance, she is advised by male family members to stay silent and give up the job instead,” Omizzolo of Tempi Moderni told VICE World News.
Women also “experience specific kinds of workplace exploitation” such as “sexual blackmail, violence and marginalization,” Omizzolo added. In some farming cooperatives, warehouses have been discovered where bosses and capos have sexually harassed Punjabi women labourers. In other cases, documented by the CGIL and Tempi Moderni, the capos demanded sexual favours to renew contracts or settle outstanding wages.
VICE World News visited a Sikh Gurudwara in Sabaudia town in Agro Pontino to interview women workers. While most agreed that sexual exploitation was rampant, there was silence around individual experiences. The most common response was: “This has never happened to me, but I know many women who have faced sexual exploitation.”
https://www.nytimes.com/2023/07/01/world/europe/greece-migrant-ship.html
Greek authorities claim the doomed migrant ship "was sailing to Italy, and that the migrants did not want to be rescued. But satellite imagery and tracking data" show it "was drifting in a loop for its last 6-1/2 half hours" as passengers called for help.
Satellite imagery, sealed court documents and interviews with survivors suggest that hundreds of deaths were preventable.
Collectively paying as much as $3.5 million to be smuggled to Italy, migrants crammed into the Adriana in what survivors recalled was a hellish class system: Pakistanis at the bottom; women and children in the middle; and Syrians, Palestinians and Egyptians at the top.
An extra $50 or so could earn someone a spot on the deck. For some, that turned out to be the difference between life and death.
Many of the passengers, at least 350, came from Pakistan, the Pakistani government said. Most were in the lower decks and the ship’s hold. Of them, 12 survived.
The women and young children went down with the ship.
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Haseeb ur-Rehman, 20, a motorcycle mechanic from the Pakistan-administrated Kashmir, felt he had to leave home to help his family survive. Together with three friends, he paid $8,000 and left for Libya.
He was one of the few Pakistanis who managed to snatch a spot on deck.
The journey, if all went well, would take three days.
As early as the second day, survivors recalled, the engine started breaking down.
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Unrest spread as it became clear that the captain, who was spending most of his time on a satellite phone, had lost his way.
When Pakistanis pushed toward the upper deck, Egyptian men working with the captain beat them, often with a belt, according to testimony. Those men, some of whom are among the nine arrested in Greece, emerged as enforcers of discipline.
Ahmed Ezzat, 26, from the Nile Delta, was among them. He is accused of smuggling people and causing the shipwreck. In an interview, his brother, Islam Ezzat, said that Ahmed disappeared from their village in mid-May and re-emerged in Libya weeks later. He said a smuggler had sent someone to the family home to collect 140,000 Egyptian pounds, or $4,500, the standard fee for a spot on the Adriana.
Islam said he did not believe Ahmed had been involved in the smuggling because he had paid the fee. He said the family was cooperating with the Egyptian authorities. Ahmed, like the others who have been charged, has pleaded not guilty.
https://statistics.schengenvisainfo.com/
About 11,000 visas to Germany
About 7,000 visas to Spain
About 5,800 to Italy
About 5,300 to France
About 2,900 to The Netherlands
About 1500 to Sweden
About 1,300 to Switzerland
About 1,100 to Denmark
About 1,045 to Belgium
https://mixedmigration.org/pakistani-nationals-on-the-move-to-europe/
Are more people leaving Pakistan for Europe?
While it is not possible to extrapolate numbers from a single incident, even one of the most deadly disasters in the Mediterranean for many years, the broader data available on mixed migration to Europe confirms that movement from Pakistan has significantly increased in 2023. While Pakistan did not even feature in IOM’s ranking of the top ten countries of origin among arrivals in Europe in 2022, Pakistan was the fifth most represented country in the first half of 2023, with 5,342 arrivals. However, in Greece, there has been no significant recorded increase of Pakistani nationals between 2022 and 2023. Instead, there has been a sharp uptick in the number of Pakistani arrivals registered in Italy: while in 2022 Pakistani nationals comprised just 3 per cent of the total number of arrivals in Italy, according to UNHCR, so far in 2023 this proportion has risen to around 10 per cent.
Why are they choosing to leave?
Though the absolute numbers of Pakistani refugees, migrants and asylum seekers entering Europe are still relatively modest, if looked at long-term, it is important to understand what may have caused this recent spike. Previous research by MMC, drawing on interviews with Pakistani arrivals in Italy between November 2019 and September 2021, identified a variety of intersecting factors that drove the need to migrate, with many (48%) citing multiple reasons for doing so, the most common being violence, insecurity and conflict (54%), lack of rights and freedom (36%) and economic reasons (33%). Given the deteriorating economic situation, high unemployment and runaway inflation, these factors are likely to have evolved, with desperation and lack of opportunity driving more to migrate. The devastation and displacement brought on by last year’s catastrophic flooding have only made matters worse.
Which routes are they taking?
Until recently, according to MMC’s research, the majority of Pakistani refugees, migrants and asylum seekers were travelling through Iran and Turkey before entering Europe through the Eastern Mediterranean route and the Western Balkans before moving on to Italy. Others travelled the less common sea route from Turkey to Italy. For most of those interviewed the journey was arduous and protracted, usually involving more than one means of transportation (89%) and in almost three-quarters of cases (72%) taking more than a year to reach Italy.
Over the last year, however, there has been a decided shift towards the Central Mediterranean route, prompted by a number of developments elsewhere. Crossings from Türkiye into Europe have fallen sharply as Greece has stepped up sea patrols and built a border fence along the Evros. These developments have been accompanied by violent pushbacks and systematic human rights abuses against refugees and migrants, including illegal detention, physical assault, theft and humiliation. On multiple occasions, this brutal treatment has proven fatal: in February 2022, for instance, the bodies of 12 people who had been pushed back from Greece were found on the Turkish border, frozen to death after being stripped of their clothes and shoes.
This strategy of deterrence, aiming at discouraging people by all possible means from entering the EU, is now being replicated in the Western Balkans. 2022 saw the highest number of arrivals in the Western Balkans since the so-called ‘migration crisis’ of 2015/16, with 144,118 attempts to cross borders between the EU and Western Balkans recorded during the year. However, at the same time countries in the region (frequently in response to pressure from the EU) began to put in place more restrictive migration policies to curb transit.
https://thefridaytimes.com/24-Nov-2023/pakistani-student-enrollment-in-germany-soars-by-30-percent
The educational landscape in Germany sees a dynamic transformation as Pakistani student enrollment surges by an impressive 30 percent. Statistics from the academic years 2020–21 to 2022–23 revealed a growth from 6,403 to 8,208 Pakistani students.
The German higher education sector, boasting a total enrollment of 458,210 international students as of 2022-2023, stands witness to this remarkable influx. Among these students, the discipline of engineering emerges as a beacon, with 145,707 individuals from diverse cultural backgrounds immersing themselves in the technical realms of innovation and progress.
The Italian Navy Carrier Strike Group, composed of the aircraft carrier Cavour and the frigate Alpino, arrived in Karachi on Monday and will be anchored there until Wednesday.
https://www.dawn.com/news/1865309
“The presence of the Italian Carrier Strike Group in the Indo-Pacific region testifies to Italy’s commitment to deepening cooperation with valued partner countries such as Pakistan, ensuring the security of international maritime routes.”
“Italy considers Pakistan a strategic partner for the security of the region. Defence plays a key role in our bilateral relations. Our country has been a loyal participant in the Aman Exercises, and our defence industries have always been present at the IDEAS fairs.”
“This year, I will join them, along with a delegation from our Ministry of Defence, for the next edition of IDEAS coming up in November,” she said.
“And it doesn’t end there. In December, our iconic sailing ship, the Amerigo Vespucci, will also dock here in Karachi,” she added.
“We have a large Pakistani community in Italy. Trade between our two countries currently amounts to two billion dollars, but there is potential for improvement. Data shows it could even increase to five billion dollars,” she said.
Rear Admiral Stefano Barbieri of the Italian Navy spoke on the occasion, stating that the first operational campaign of the Italian Carrier Strike Group in the Indo-Pacific region is a strategic initiative of Italian Defence to promote defence capabilities in the area.
“The dynamics of defence in the Indo-Pacific region can affect free trade of goods and services, as well as overall trade relations with the Mediterranean Sea,” he said.
“The deployment of the Carrier Strike Group in the Indo-Pacific region allows Italian Defence to strengthen and consolidate strategic protection with viable capabilities well beyond the usual area of operations. Controlling the sea and keeping maritime lines and communication open is crucial,” he stressed.
The Commanding Officer of the Carrier Strike Group, Rear Admiral Giancarlo Ciappina, said he was glad to be working with Italy’s allies. “Our presence here sends a strong message of cohesion with our allies and like-minded partners,” he said.
https://propakistani.pk/2024/04/22/germany-is-launching-opportunity-card-for-foreigners-looking-for-jobs/
Germany is set to introduce the Opportunity Card in June 2024, a new program aimed at facilitating employment for qualified non-EU citizens in the country. This initiative is designed to streamline the process for skilled job seekers, enhancing their ability to explore job opportunities and engage in flexible work arrangements.
The Opportunity Card represents a significant shift in Germany’s approach to immigration for skilled workers. It simplifies the existing qualification requirements, allowing individuals to enter the job market more efficiently. The card enables holders to look for jobs, participate in work trials, and if necessary, extend their stay in Germany.
The new system reduces the complexities often encountered in the bureaucratic process. Here are the key aspects of the qualification process for the Opportunity Card:
Qualification Recognition:
The card is accessible to individuals whose skills and qualifications are recognized in Germany, eliminating the need for additional special requirements.
Educational Criteria:
Eligible applicants include those with a foreign university degree, a vocational qualification of at least two years recognized by their home country, or a vocational qualification issued by a German Chamber of Commerce Abroad.
Language Proficiency:
Applicants must demonstrate language proficiency, requiring at least an A1 CEFR level in German or a B2 CEFR level in English.
Point-Based Evaluation System
The Opportunity Card uses a point-based system to assess eligibility. Points are allocated based on various factors such as the recognition of qualifications, language skills, professional experience, age, connections to Germany, and the potential involvement of partners or spouses. Applicants need to achieve a minimum of six points to be eligible.
Advantages of Holding the Opportunity Card
The Opportunity Card offers numerous benefits that facilitate a smoother transition into the German job market:
Ease of Job Search: The card allows holders to bypass lengthy recognition processes, enabling them to immediately start looking for employment.
Flexible Work Arrangements: Holders are permitted to undertake work trials and can engage in secondary employment for up to 20 hours per week.
Extension Possibility: In cases where holders are offered eligible employment but cannot secure another resident title, the card can be extended for up to an additional two years.
Germany’s Intentions
The Opportunity Card is a strategic initiative by the German government to attract skilled workers and simplify their entry into one of Europe’s leading economies. It provides a streamlined pathway for engaging with the job market without the necessity of a pre-arranged job contract, thereby offering job seekers valuable time to find suitable employment.
https://www.thenews.com.pk/print/1278605-remittances-expected-to-surpass-35bn-in-fy25-analysts
KARACHI: Pakistan’s remittances are projected to exceed the central bank’s forecast of $35 billion for the fiscal year 2025, thanks to the country’s efforts to curb illegal foreign exchange trade, increasing citizens working abroad, and economic stability bolstered by the International Monetary Fund (IMF) bailout, according to analysts.
In a recent report, an analyst at Topline Securities estimates that remittances will reach $37 billion this fiscal year. He expects the country’s current account balance to breakeven, resulting in a surplus of 0.5 per cent of its gross domestic product (GDP) -- equivalent to approximately $0-2 billion -- primarily driven by higher-than-expected remittance inflows.
During the July-December period of FY25, remittances increased to $17.8 billion, representing a 33 per cent rise compared to the same period last year. The State Bank of Pakistan (SBP) projects total remittance inflows of $35 billion for this fiscal year, up from $30.3 billion in FY24.
Remittances play a vital role in supporting the country’s external account and foreign exchange reserves. Currently, the SBP’s forex reserves amount to $11.37 billion, sufficient to cover over two months’ worth of imports.
According to the SBP’s monetary policy statement, while the import bill has exceeded export earnings, remittance inflows have more than compensated for the widening trade deficit. Given these trends, particularly the strong remittance growth, the outlook for the current account balance has significantly improved. It is now expected to remain within a surplus or deficit of 0.5 per cent of GDP in FY25.
Saad Hanif, head of research at Ismail Iqbal Securities, anticipates that remittances will rise to between $34.8 billion and $35.5 billion in FY25. He noted that the increase in remittances can be attributed to several factors, including the growing number of people travelling abroad for work, the ease of using Roshan Digital Accounts (RDA), improved policy stability under the IMF programme, and a crackdown on illegal transfer channels such as ‘hundi’ and ‘hawala’. In the last two years, over 1.5 million Pakistanis have gone abroad for work, which has boosted remittance inflows. The ease and speed of banking services, particularly with the growth of RDAs and fintech, are encouraging the use of legal channels for remittances.
Tresmark, a financial terminal, stated in a note that surging remittances could be transformative for Pakistan’s economic viability, but certain misconceptions need to be addressed.
One common myth is that everyone in Pakistan is emigrating. However, data shows that emigration patterns from Pakistan align with trends observed in the region, including India and Bangladesh.
Another misconception is that Pakistan is experiencing greater remittance growth than other countries. The report clarifies that, over the past five years, remittance performance in Pakistan has been comparable to that of India and Bangladesh, although the trajectories have differed slightly.