Stakeholders Regain Confidence
Remittance likely to grow in the New Year
The remittance inflow into the country is likely to return to its previous strength in 2018, as the Bangladesh Bank (BB) has taken up several initiatives to boost the remittances from Bangladesh expatriates in this regard, officials said.
The initiatives include regulation to curb illegal remittance, BB officials said
The remittance inflow, an important anchor of Bangladesh economy plunged in 2017, as in September it was the lowest in six years at $856 million amid growing concern of the BB.
However in the following two months the remittances started to edge up boosting the hopes that the remittance will again increase in 2018.
The remittance in 2016-17 fiscal year was $12.77 billion, which was 14.48 per cent lower than the previous fiscal year.
In October, 2017, Bangladesh received remittance amounting to $1.15 billion, which is $303 million more than the previous month and $148 million more than the inflow in October, 2016.
Bangladesh received remittance amounting to $1.21 billion in November, 2017. The remittance inflow increased by $55.7 million, compared to the month of October the same year.
Remittances increased by 10.76 per cent from July to November of 2017-2018 fiscal year. In these five months, the country received $5.76 billion in remittance. From December 1st to 22nd, the inflow was $874 million.
As the growth rate is currently increasing to touch a double digit growth it is hoped that by June, 2018, at the end of current fiscal year, the remittance flow may exceed $15 billion (Tk1,500 crore).
The BB is trying to bring more expatriates under the coverage of legal remittance as the manpower export has also increased. In 2017 nearly 1.1 million workers went abroad with jobs from Bangladesh.
According to the Bangladesh Bank, in the Fiscal Year 2017-2018, the country received $1.15 billion in remittance in July, $1.41 billion in August, $856 million in September, $1.15 billion in October and $1.21 billion in November.
In the Fiscal Year 2014-2015, Bangladesh achieved a record amount of remittance reaching $15.31 billion. But the inflow kept decreasing in the later years.
In the Fiscal Year 2015-2016, the remittance inflow decreased by 2.5 per cent at $14.93 billion, and in the previous fiscal year, the inflow witnessed a 14 per cent dip at $12.77 billion, which was the lowest in the past six years. Remittance accounts for 12 per cent of the country's GDP.