Diaspora, Remittances and Dependence on Arab Countries: A Case of Pakistan

This paper has formulated a model by the name of DRADM i.e. Diaspora-Remittances-Arab Dependency Model while studying the literature pertinent to the modes of remittance, sectarianism and the Pakistani diaspora in the Middle-East. Pakistan is home of a large Shi’a population second only to Iran and this community regularly visits the holy shrines in Iran, Syria and Iraq forming a heartily connection with these countries. Contrarily, the Sunni Arab world hosts a huge number of Pakistani workers who send a significant part of their salaries back to Pakistan. These remittances act as a viable source of foreign exchange and help in balance of payments each year. Since the former group (Shi’a) is influenced by Iran and the latter (Sunni) by Saudi Arabia, Pakistan finds itself in a flux. In its bid to make a balance between Iran and Kingdom of Saudi Arabia (KSA), how Pakistan would manage its staggering economy with headship of Islamic military coalition, is a big question mark. With the help of published secondary data from governmental and other institutions this study examines the co-relation between remittances from Arab World and sectarianism (inside Pakistan and in Middle East) and its impact on the foreign policy of Pakistan.