Why now could be the best time to send money to Pakistan for a homebuilding investment
Did you know that each time we ask our customers why they send money home, investment is always up there with supporting families and paying for the education of the younger generation.
If you have friends, family and loved ones in Pakistan, this article is for you. This month sees the formal introduction of loans being given out as part of the Naya Pakistan Housing Programme. It is the latest step for a scheme which aims to boost Pakistan’s housing and construction sector, which has already seen heavily subsidised land that is needed for the creation low-cost homes made available.
Is investment back home one of the reasons you send money to Pakistan?
Forming part of Imran Khan’s election manifesto, the scheme is part of a plan to solve the country’s housing shortage and provide more people with the opportunity to own their own home. Other incentives include fixed tax regimes for builders and developers and tax relief to help with financing.
This new programme coincides with a record-breaking three months for remittances making it an ideal to send money to Pakistan.
Why is remittance to Pakistan at an all-time high?
August 2020 saw remittances to Pakistan exceed $2bn for the third month in a row and of the $2.095bn received in August, $302m was sent from the UK to Pakistan.
Pakistan Today put this rise in remittances down to two factors:
1. The Pakistan Remittances Initiative has been a great success backed by a strong marketing campaign and incentive that have attracted people to make a money transfer to Pakistan through legitimate channels.
You can read all about these new incentives in this recent blog on the Small World website.
2. With businesses reopening in the Middle East, United States and Europe, but travel still limited, people who might normally physically take cash home to Pakistan are now choosing in to send it through the banking system.
As well as these two reasons, investment is always an important factor that leads people to send money home to Pakistan and the housing programme will only add to that.
How can I transfer money to Pakistan?
1) Send money online: send money to be collected from over 8,000 locations in Pakistan or deposit rupees directly into a bank account via the Small World website.
2) Send money using the Small World app: for everyone with a smartphone, the same services are available using our mobile app. Sending money has never been easier.
3) Send money in person from a Small World branch or agent: If you prefer to make your money transfers in person then all you need to do is visit one of our branches or a Small World agent.
4) Send money by phone: Our customer service operators are available Monday to Friday: 9AM – 7PM and Saturday: 9AM – 4PM. Call us on 020 7407 1800 or 0800 019 5030 What are the key things to remember when sending large amounts of money to Pakistan?
Money transfer companies and banks will charge you for each transaction that you make. Therefore, it is most cost effective to send money in a small number of large transfers rather than broken down into several small ones.
With Small World, your first online transfer with us is fee free, saving you even more money if you are sending a large amount to Pakistan for an investment – and another reason to consider one larger transfer.
You should also always check the exchange rates to make sure you are receiving a good Pakistan money rate. Some banks will say that they are “fee free” but will then charge an especially unfavourable exchange rate.
This blog on the Small World website goes into greater detail about the difference between transfer fees and exchange rates - helping to ensure that you are getting the best deal, a deal which will help you make the most of these new investment opportunities.
The most popular ways to send money to Pakistan:
1. Cash Pick-up
2. Bank Deposit
Top-up Our main partners in Pakistan are: MCB Bank, Wall Street, UBL, National Bank of Pakistan, Bank Alfalah, Allied Bank, Soneri Bank, JS Bank, and Bank AL Habib.