Pakistan received over $3bn from expats in Roshan Digital Accounts since September 2020

A Pakistani dealer counts US dollars at a currency exchange shop in Karachi on November 30, 2018. (AFP/ File)
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Updated 07 January 2022
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Pakistan received over $3bn from expats in Roshan Digital Accounts since September 2020

  • A total of 322,463 accounts have been opened so far from around 175 counties in different Pakistani banks  
  • Scheme has helped Pakistan build up foreign exchange reserves but economist say real challenge is sustainability

ISLAMABAD: Pakistan has received $3.16 billion in remittances from expatriates through the Roshan Digital Account (RDA) service since it was launched in September 2020, the State Bank of Pakistan (SBP) said on Friday. 

The RDA service was introduced by the central bank in collaboration with eight commercial banks across the country. The main objective of the service is to facilitate overseas Pakistanis in opening local and foreign exchange currency accounts without visiting the country. 

Depositors must provide basic information and documents to the central bank online, allowing them to invest in the country’s stock market, real estate and other sectors. 

Dr. Vaqar Ahmed, a senior economist and joint executive director at the Sustainable Development Policy Institute (SDPI) in Islamabad, said inflows through the initiative had helped build up the country’s foreign exchange reserves at a time when the government was facing a ballooning current account deficit with soaring import bills and a depreciating rupee. 

“The real test of this initiative will come when the rupee stabilizes against the dollar and the government withdraws tax incentives for real estate investments,” he told Arab News. 

Ahmed said the government may withdraw numerous tax incentives being extended to RDA account holders after reaching a deal with the International Monetary Fund for the revival of a $6 billion loan package. 

“The real challenge for the government is to make this [RDA] scheme sustainable for a longer period of time to get the maximum benefit out of it,” he said. 

Central bank data shows that around 68 percent or $2.15 billion out of the $3.16 billion invested by overseas Pakistanis was in high-return Naya Pakistan Certificates (NPCs) during sixteen months, with $1.19bn invested in the conventional NPCs and $957mn invested in Islamic certificates of the instrument. 

A small portion of the $32 million investment has been observed in the equity market. In the month of December 2021 alone, overseas Pakistanis deposited $244mn into the RDA compared to $239mn last month. 

A total of 322,463 accounts have been opened so far from around 175 counties across different Pakistani banks. 

The government has issued the NPCs in USD, GBP, EURO and PKR at very attractive risk-free rates and in both conventional and Shariah-compliant forms. 

On NPC, only a 10 percent withholding tax on profits is applicable. Account holders are not required to submit tax returns while resident Pakistanis who have assets abroad that are declared with the Federal Board of Revenue can also invest in USD/GBP/EURO denominated NPCs, according to the central bank. 

As per the state bank’s policy, the funds in these accounts can be fully repatriated without the prior approval of the central bank. 

Haroon Sharif, a former economic adviser to the government, said the interest rate being paid to expatriates through the RDA was “very high” at seven percent in dollar terms compared to a mere one or one-and-a-half percent paid to them in the West on savings. Sharif said this was the main reason overseas nationals were pouring money into the RDA. 

“At the end of the day, this is a loan to the government but without any strings attached to it, unlike other international lenders,” he told Arab News.

Sharif said the government should encourage overseas nationals to invest in different projects in Pakistan instead of just extending a loan to earn attractive interest rates on their funds.

Dr. Nadia Farooq, a senior economist and research fellow at the University of Georgia, said the inflows from the RDA were helping the country stave off a balance of payments crisis in the wake of a soaring trade deficit and import bill.

“This is the government’s success that it has been able to create a new channel to receive inflows from overseas nationals other than the traditional remittances,” she told Arab News.

She, however, urged the state bank to inform the public about where these funds were being utilized and how interest on them would be paid back to overseas Pakistanis.

“We should introduce structural reforms in our economy to introduce transparency in our investments, loans and spending,” she said, “to get the maximum benefit from schemes like this.”


Pakistan, Saudi forces conclude naval drills with display of firepower and combat tactics

Updated 19 February 2025
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Pakistan, Saudi forces conclude naval drills with display of firepower and combat tactics

  • The two countries maintain close defense ties, with their navies regularly participating in joint drills
  • Affaa Al Sahil follows Naseem Al Bahr-XV and Aman 2025 exercises to enhance maritime coordination

ISLAMABAD: Pakistan and Saudi Arabia concluded their annual Affaa Al Sahil naval exercise in Karachi on Wednesday with a demonstration of intense firepower, close quarter combat and hostage rescue, according to a statement by Pakistan’s military media wing, the Inter-Services Public Relations (ISPR).
The exercise, which has been conducted annually since 2011 between the Pakistan Navy’s Special Service Group and the Royal Saudi Naval Forces’ Special Operations Forces, focused on enhancing interoperability and tactical coordination.
It follows Naseem Al Bahr-XV, another bilateral naval exercise between the two countries, and Aman 2025, a multinational maritime drill aimed at promoting regional maritime cooperation.
“The joint naval exercise Affaa Al Sahil between the Pakistan Navy and the Royal Saudi Naval Forces’ Special Operations Forces concluded in Karachi,” the ISPR said in a statement.
“The training drills included RPG [rocket-propelled grenade] firing, machine gun firing, close quarters combat, practical rappelling, hostage rescue, visit board search and seizure, explosive ordnance disposal drills, mission planning and advanced area clearance techniques,” it added.
The closing ceremony of the exercise was attended by Commander Coast Rear Admiral Faisal Amin along with senior officials from both navies.
Pakistan and Saudi Arabia maintain close defense ties, with their navies regularly participating in joint drills to improve maritime security and counter asymmetric threats in the region.
“This joint exercise will help strengthen mutual capabilities and coordination in countering maritime security challenges,” the ISPR added.


Pakistan’s deputy PM seeks UN support to curb ‘cross-border terrorism’ from Afghanistan

Updated 19 February 2025
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Pakistan’s deputy PM seeks UN support to curb ‘cross-border terrorism’ from Afghanistan

  • Ishaq Dar meets Secretary-General António Guterres, says Pakistan will support the destitute in Afghanistan
  • He hopes developing nations will get the required finances under the UN leadership to meet climate targets

ISLAMABAD: Pakistan’s Deputy Prime Minister Ishaq Dar, who also holds the foreign affairs portfolio, on Wednesday sought the United Nations’ support to curb “cross-border terrorism” from Afghanistan during a meeting with Secretary-General António Guterres, according to an official statement.
Dar traveled to New York this week to address a Security Council debate on multilateralism and global governance convened by China. A day earlier, he called for an immediate ceasefire in Gaza and the urgent delivery of humanitarian aid to people affected by Israel’s war.
He also mentioned a surge in militancy in its two western provinces of his country bordering Afghanistan since a fragile truce between the banned Tehreek-e-Taliban Pakistan (TTP) and Islamabad broke down in November 2022.
The government has frequently blamed the spike in militant activities on Afghanistan, accusing it of sheltering and supporting militant groups that launch cross-border attacks. Afghan officials deny involvement and insist that Pakistan’s security issues are an internal matter for Islamabad.
“The Deputy Prime Minister and Foreign Minister highlighted cross-border terrorism from Afghanistan and called for the UN’s support in countering terrorism within and from Afghanistan,” the foreign office said in a statement released after Dar’s interaction with Guterres.
“He also reaffirmed Pakistan’s desire to provide humanitarian support to the millions of destitute people in Afghanistan and to promote its economic development, including through implementing connectivity projects between Central Asia and Pakistan through Afghanistan,” it added.
During his conversation with the UN chief, the deputy prime minister reaffirmed Pakistan’s support for the UN’s central role in addressing global challenges, including peace and security, development and climate change.
Dar highlighted Pakistan’s commitment to multilateralism and UN peacekeeping efforts, saying Islamabad remained dedicated to promoting international peace and security as a non-permanent member of the UN Security Council.
He also welcomed the UN chief’s Summit of the Future initiative, designed to strengthen global governance and improve multilateral cooperation, expressing hope it would help address financing gaps for developing countries to achieve Sustainable Development Goals and climate targets.
Guterres thanked Pakistan for its contributions to UN peacekeeping and its active engagement in multilateral forums, according to the statement.
 


Pakistan’s envoy says working with UAE to resolve visa restrictions on Pakistani nationals

Updated 19 min 20 sec ago
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Pakistan’s envoy says working with UAE to resolve visa restrictions on Pakistani nationals

  • Faisal Niaz Tirmizi attributes mass rejections of visa applications to issues with applicants’ documents, ‘criminal record’
  • The envoy says Pakistan must give high-skill training to workers as the Gulf nation no longer needs unskilled labor

ISLAMABAD: Pakistan’s Ambassador to the United Arab Emirates (UAE), Faisal Niaz Tirmizi, on Tuesday described the Gulf country’s refusal of visas to Pakistani nationals as a “serious and significant” issue, saying both countries are working to resolve it.
The envoy’s comments follow media reports about a decline in visa approvals for Pakistanis by the UAE, particularly over the past year, and a decrease in overall employment opportunities for Pakistani nationals, allegedly due to their lack of respect for local laws and customs, as well as their participation in political activities and sloganeering.
In an interview with Arab News, Ambassador Tirmizi said he had recently held several meetings with UAE officials at the Emirati ministries of foreign affairs and human resource development to resolve the issue.
“This is a very serious issue and it has been raised at the highest level in all the interactions,” he said. “We are working to resolve the issue and hopefully they will be resolved, but the issue is quite significant and I cannot deny that.”

Pakistan’s Ambassador to the United Arab Emirates (UAE), Faisal Niaz Tirmizi, speaks to Arab News in Dubai, UAE, on February 18, 2025. (AN photo)

When asked about the outcome of his meetings with UAE authorities, the ambassador said only “slight improvement” had been observed so far, despite raising the matter at the “highest level.”
He said there were a number of factors involved, mainly issues with documents and “criminal record” of the applicants, behind the visa refusals.
“There was a major issue on the authenticity of education and qualification documents from Pakistan that has to be addressed,” he said, adding the UAE was now verifying documents through artificial intelligence (AI) and any discrepancy could result in rejection.
“If they find a dichotomy somewhere, even if the document is genuine but the attestation either in Pakistan or in the UAE is not genuine, it could cause major rejections.”
The envoy said people with a criminal record should not be allowed to travel abroad, not just to the UAE but to any country.
“We have to improve systems within the country to ensure that only genuine travelers, genuine workers with a clean record, are allowed to travel outside and find jobs outside the country,” he said.
Speaking about the lack of employment opportunities for Pakistanis, Tirmizi said the UAE no longer needed unskilled labor as most of its physical infrastructure development was complete.
“We have to train people now for high-skill jobs, like well-trained IT experts, people who are trained in artificial intelligence, people who are trained in accounting, people who have the skills, doctors, physiotherapists and laboratory technicians,” he said.
Tirmizi said he had requested the Pakistani government to launch a four-year nursing program recognized in the UAE and the entire Gulf Cooperation Council (GCC).
“Pakistan has a surplus of labor and we have to improve the quality of education within Pakistan and we have to make sure that those people have the necessary technical, cultural, soft skills and language skills to compete in the international market,” he explained.
Blue-collar workers earn a monthly salary of $272-816 (1,000-3,000 Emirati dirhams), while skilled professionals have salaries ranging between $10,000 and $20,000 (36,730 and 73,460 dirhams), according to the Pakistani envoy. 
Yet, Pakistan’s remittances from the UAE, the second biggest source of foreign inflows after Saudi Arabia, has seen a significant growth in recent years.
According to Pakistan’s diplomatic mission in the UAE, year-on-year remittance statistics for the July to December period show a steady trend, with $2.61 billion in FY2023, $2.33 billion in FY2024 and approximately $3.58 billion in FY2025, reflecting a 53.9 percent year-on-year increase.
“That’s a very significant development,” Tirmizi said. “If you have high-skill workers, the level of remittances to Pakistan will increase manifolds.”
About the impact of Pakistan’s participation in recent exhibitions and trade events in the UAE, Tirmizi said it had led to a “significant increase” in the export of Pakistani products, particularly in the IT and food sectors.
“We registered an increase of almost 40 percent in export of our IT [products and services] as the UAE is right now the third biggest destination of IT exports from Pakistan after the United States and the United Kingdom,” he said.
“Similarly, our exports in terms of food products have also increased around 28 percent in the last one year and the UAE has become a major destination for our rice, sesame seeds and pink salt.”


The UAE is Pakistan’s third-largest trading partner after China and the United States, and policymakers in Pakistan consider the Gulf nation an optimal export destination due to its geographical proximity, which minimizes transportation and freight costs while facilitating commercial transactions.
The volume of bilateral trade between Pakistan and the UAE was nearly $5.6 billion in the fiscal year 2023-24 that ended in June, with Pakistani exports to the UAE reaching $1.59 billion and imports totaling $4 billion, according to the Pakistani embassy in the UAE.
Pakistan’s exports to the Emirates rose by 31 percent to $873 million in the first six months of the current financial year (July till December 2024), compared to $670 million during the same period last financial year.


Champions Trophy 2025: A landmark event set to revive Pakistan’s cricketing glory

Updated 19 February 2025
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Champions Trophy 2025: A landmark event set to revive Pakistan’s cricketing glory

  • Champions Trophy 2025 is the first major ICC event in Pakistan since the South Asian country co-hosted the 1996 World Cup with Sri Lanka and India
  • Analysts say the event will not only cultivate new talent, but also help elevate Pakistan’s image and boost investment and tourism in the country

ISLAMABAD: Pakistan is set to open the Champions Trophy 2025 in Karachi on Wednesday, marking the return of a major international cricket tournament to the country after nearly three decades, with analysts saying will not only revive Pakistan’s cricketing glory but also contribute to the country’s investment, tourism landscape and international image.
The elite one-day international tournament, which features the game’s top eight sides in the format, begins with the hosts facing off New Zealand in the southern port city of Karachi. This is the first major global tournament hosted by Pakistan in nearly 30 years and analysts and former cricketers say there is no escaping the excitement in the event.
Cricket teams abandoned Pakistan after an attack on the Sri Lankan cricket team outside Lahore’s Qaddafi Stadium on Mar. 3, 2009, forcing the cricket-mad South Asian nation into wilderness for several years. It took the Pakistan Cricket Board (PCB) several years to convince its counterparts that it was safe to travel to the South Asian country.
While Zimbabwe was the first international team to visit Pakistan in May 2015, former PCB chairman Najam Sethi says the success of Pakistan Super League (PSL) since its launch in 2016 boosted the confidence of foreign players in Pakistan, hailing the 50-over Champions Trophy as the culmination of Pakistan’s efforts to reintegrate into the global cricketing fraternity and promote new talent.
“The successful launch of PSL nearly 10 years ago was a game-changer. It enabled international cricket to return to Pakistan, and the Champions Trophy tournament is the icing on the cake,” he told Arab News.

Workers install billboards on a structure of an entry point to Gaddafi Stadium, in preparation for upcoming ICC Champions Trophy 2025, in Lahore, Pakistan, Saturday, Feb. 15, 2025. (AP)

“It will unleash the passion of tens of millions of Pakistanis and motivate a new generation of cricket fans to excel in the game by watching the best players in the world play their craft. I predict a wave of new talent will erupt in Pakistan in the wake of the [tournament]!“
Mirza Iqbal Baig, a sports journalist, recalled how the attack on the Sri Lankan team had disappointed cricket fans in the country, but described the Champions Trophy as a “milestone” for Pakistan cricket.
“Now all international teams, especially England, Australia, New Zealand, South Africa, who have a lot of security concerns, but they all have come and I think this will boost Pakistan cricket,” he told Arab News.
“Pakistani cricket fans will see international cricket stars playing before them in their home grounds, and there will be competition too. I think the hosting of Champions Trophy will prove to be a milestone for Pakistan cricket.”
Asked about its socio-economic impact on Pakistan, Baig said it will definitely send out a positive image of the country with regard to investment and tourism.
Sethi echoed the sentiment: “The matches will be seen by over a billion people. There can be no better projection of Pakistan’s soft power and budding prestige.”
The Champions Trophy 2025, being staged after a hiatus of eight years, is the first major ICC tournament in Pakistan since the South Asian country co-hosted the 1996 World Cup with Sri Lanka and India.
While all teams agreed to play in Pakistan, India refused to travel to the host country and will play its matches in the United Arab Emirates (UAE).
“It is sad that sum-zero diplomacy remains a hurdle in cricketing ties between India and Pakistan,” Sethi remarked. “But I firmly believe that this hybrid model is a precursor to full blown bilateral cricketing relations sooner than later.”
Baig said Pakistan had “opened its arms” for everyone, but the Narendra Modi-led government had been using cricket as “political tool.”
“But anyway, the tournament is being played. People were saying that India would ask other teams to not visit Pakistan, but the rest of the teams have arrived,” he said.
“India will regret later why they did not play in Pakistan.”


Pakistan begins ICC Champions Trophy title defense in Karachi today, face New Zealand in opener

Updated 19 February 2025
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Pakistan begins ICC Champions Trophy title defense in Karachi today, face New Zealand in opener

  • Pakistan is hosting an ICC event for the first time since the cricket World Cup 1996
  • The team defeated India in the final of the 2017 edition, led by Sarfaraz Ahmed

KARACHI: The ninth edition of the ICC Champions Trophy 2025 will commence in Pakistan today, Wednesday, with defending champions Pakistan taking on New Zealand in the opening match of the tournament at the National Stadium in Karachi at 2 PM.

The eight-team tournament will be played across three venues in Pakistan – Karachi, Lahore and Rawalpindi – as well as in Dubai, United Arab Emirates (UAE) from 19 February to 9 March.

Pakistan is all set to host an ICC event for the first time since the ICC Cricket World Cup 1996, which concluded with the final at the Qaddafi Stadium, where Sri Lanka defeated Australia by seven wickets.

“A global event has come to Pakistan after 29 years, so I believe the entire nation is celebrating this historic occasion,” Pakistan skipper Pakistan Mohammad Rizwan ahead of the tournament on Tuesday. “There are no doubts about our performance, we have worked hard and learned from our mistakes. We hope that we play well tomorrow.”

“Our sole focus is on winning the tournament for the country and our people and we hope that we achieve the desired results,” he continued.

In the lead-up to the ICC Champions Trophy, the three venues in Pakistan – Qaddafi Stadium Lahore, National Stadium Karachi and Rawalpindi Cricket Stadium – have undergone major upgradation, offering players and spectators world-class facilities.

Pakistan enter the tournament as the defending champions, having beaten India in the final of the 2017 edition, led by Sarfaraz Ahmed. Fakhar Zaman was the player of the final for his imperious 114 off 106 deliveries, while Hasan Ali was named the player of the tournament for his tally of 13 wickets in five games.

The eight participating teams have been divided into two groups with hosts Pakistan, Bangladesh, India and New Zealand pooled in Group A while Group B comprises Afghanistan, current ODI World Cup champions Australia, England and South Africa.

Following their opening encounter against New Zealand, Pakistan will play their next two group matches on 23 February against India in Dubai and on 27 February against Bangladesh in Rawalpindi.

In the group stage, three matches apiece will be played in Dubai, Karachi, Lahore and Rawalpindi.

The first semifinal will be played on March 4 in Dubai. The newly-upgraded Qaddafi Stadium in Lahore will host the second semifinal on March 5. If India do not qualify, the final will take place at the Qaddafi Stadium on March 9.

However, if they qualify, it will be held at the Dubai International Cricket Stadium.

Apart from winning this tournament in 2017, Pakistan has also reached the semifinals of this competition on three occasions in 2000, 2004 and 2009.