Govt moves to offset remittances shortfall

ISLAMABAD: Expecting a shortfall in the amount of money sent back to the country by migrant workers because of the Covid-19 pandemic, the government has decided to offer an incentives package to overseas Pakistanis to encourage them to use banking channels to transfer remittances.

According to a recent World Bank, remittances to low- and middle-income countries are projected to fall by nearly 20%, “representing the loss of a crucial financial lifeline for many vulnerable households”.

Describing the decrease as the worst in recent history, including the 2008 financial crisis, the bank said migrant workers were especially vulnerable to losing their jobs during coronavirus lockdowns which are still largely in place across the developed world.

The package — to be effective from the start of the next fiscal year — includes tax exemptions and other incentives under a special loyalty programme.

Continue Reading at: The Express Tribune

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