Overseas Pakistanis deposited and invested a gross $1.90 billion in the country through the Roshan Digital Account (RDA) during the fiscal year ending June 30, 2024, bringing cumulative gross inflows to $8.25 billion amid economic stability and higher returns on Naya Pakistan Certificates (NPCs).
According to the central bank’s latest update on Friday, net RDA inflows—excluding withdrawals and funds utilised domestically—improved by $311 million to $1.43 billion in FY24, contributing to stabilising the country’s foreign exchange reserves at $9.10 billion, up from around $4 billion in June 2023.
In June 2024 alone, non-resident Pakistanis injected a gross $200 million, raising the total gross inflows to $8.25 billion over the past 45 months since the RDA’s introduction in September 2020.
The central bank data reveals that out of the $8.25 billion gross inflows, Pakistani expatriates utilised $5.21 billion domestically and withdrew $1.61 billion from their RDA accounts in Pakistani banks. Consequently, net deposits and investments stood at $1.43 billion as of end-June 2024.
Of the $1.43 billion, non-residents invested $348 million in NPCs, $592 million in Shariah-compliant NPCs, and $38 million in shares at the Pakistan Stock Exchange (PSX). Additionally, they maintained net deposits of $422 million, with other liabilities at $31 million as of June 30, 2024.
Financial experts noted that non-resident Pakistanis have increased their stakes in various assets through RDA, reflecting growing confidence in Pakistan’s economic stability and rupee-dollar parity. Investments in NPCs have surged following recent increases in return rates.
Non-residents can invest in NPCs in four currencies: Pakistani rupee, US dollar, UK pound, and euro, with returns significantly higher than those offered by developed countries’ debt instruments. Expatriates can freely invest or withdraw deposits and investments anytime through their online accounts in Pakistan from their host countries.
These RDA inflows are in addition to monthly workers’ remittances, which surged 11% to $30.25 billion in FY24, significantly aiding in financing the trade deficit over the year.
