Pakistan is known as one of the developing nations of the world. Pakistan has been facing several economic and social problems. Poverty and unemployment are on the peak. Remittances play a crucial role in the economy of the country especially for the households living in rural areas. A higher percentage of the population lives in rural areas and is exposed to the most vulnerable conditions. People who are poor and unemployed mostly seek for jobs in foreign countries in order to earn income for the consumption of their families. Rural areas of Pakistan are facing severe cases of poverty, illiteracy and unemployment caused by underlined factors. In this regard, it becomes crucial for rural people to find ways of income in any way.
Remittances are sent by foreign workers to their families living in the home country. Especially in rural areas, it helps households to spend on their consumption and everyday needs. Remittances help families to upgrade their living standard which has the capacity to bring change on the society level. The stabilization of the economy can help rural people to consider other important needs to be fulfilled like education, awareness, technological exposure, etc. Pakistan is facing economic problems on the national level and at the root level, rural areas are suffering the most.