Remittance inflow falls by 6.23% in a month

The country’s remittance inflow in May has declined by 6.23 percent in a month and 13 percent in comparison to the same month last year.

Bangladeshi expatriates sent $1.88 billion remittances in May of the current fiscal year. However, it was $2.17 billion during the same period of last fiscal.

The country received $2.01 billion in remittances in April, the highest amount in a single month of the current fiscal year. This means remittance fell by $125 million or 6.23% in one month.

Meanwhile, the government has set a target of $26 billion for remittance inflow in the current financial year 2021-22.

However, remittances reached only $19.19 billion in the first eleven months of the current financial. Remittances reached 73.80% of the target.

Sector insiders said that expatriates are benefitted more by sending remittances through formal channels. So, they have steered away from the hundi medium now.

If the government adjusted the dollar rate with formal channels, remittances through banks would increase further, they added

The Bangladesh Bank has relaxed the requirement for availing 2.5% cash incentive for inward remittances over Tk5 lakh.

From now on migrant workers can get the incentives without submitting any documents. Earlier remitters needed to submit remittance-related documents. This new facility will be available until further notice.