Thursday, 07 November, 2024
Remittance inflows to Bangladesh surged by 21.31% in October compared to the same month last year, reaching a total of $2.39 billion. According to Bangladesh Bank officials, the country has received over $2 billion in remittances over the past three months.
October's remittance figures marked a notable increase from $1.97 billion in October of the previous year, continuing the trend of higher remittances seen in the previous two months. In September, inflows amounted to $2.40 billion, following $2.22 billion in August, despite initial disruptions caused by an anti-government movement at the beginning of the month.
The inflows were temporarily affected during the first nine days of August due to the quota reform movement and an internet shutdown.
The central bank reports that Bangladesh has received approximately $8.93 billion in remittances from July to October this year, compared to $6.87 billion during the same period last year, reflecting a remarkable 29.98% increase.
For the 2023-24 fiscal year, total remittance inflows reached $23.91 billion, representing a 10.64% rise from the previous year.
The increase in remittances has been influenced by a rise in the dollar price, which climbed from Tk 110 to Tk 117 after the central bank adopted a 'crawling peg' exchange rate method in May. This adjustment has resulted in a more favorable rate for remittances sent through banking channels.
A senior official at the central bank noted that the price of dollars within banks has aligned more closely with the open market rate, boosting remittance flows into the banking system due to better pricing. "Expatriates' confidence in the country has improved. They now believe that if they send remittances, those funds will be used appropriately," he stated.
Additionally, the suppression of hundi traders has lessened, leading to a decrease in informal remittance channels and contributing to a more stable dollar market.
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Remittance inflows to Bangladesh surged by 21.31% in October compared to the same month last year, reaching a total of $2.39 billion. According to Bangladesh Bank officials, the country has received over $2 billion in remittances over the past three months.
October's remittance figures marked a notable increase from $1.97 billion in October of the previous year, continuing the trend of higher remittances seen in the previous two months. In September, inflows amounted to $2.40 billion, following $2.22 billion in August, despite initial disruptions caused by an anti-government movement at the beginning of the month.
The inflows were temporarily affected during the first nine days of August due to the quota reform movement and an internet shutdown.
The central bank reports that Bangladesh has received approximately $8.93 billion in remittances from July to October this year, compared to $6.87 billion during the same period last year, reflecting a remarkable 29.98% increase.
For the 2023-24 fiscal year, total remittance inflows reached $23.91 billion, representing a 10.64% rise from the previous year.
The increase in remittances has been influenced by a rise in the dollar price, which climbed from Tk 110 to Tk 117 after the central bank adopted a 'crawling peg' exchange rate method in May. This adjustment has resulted in a more favorable rate for remittances sent through banking channels.
A senior official at the central bank noted that the price of dollars within banks has aligned more closely with the open market rate, boosting remittance flows into the banking system due to better pricing. "Expatriates' confidence in the country has improved. They now believe that if they send remittances, those funds will be used appropriately," he stated.
Additionally, the suppression of hundi traders has lessened, leading to a decrease in informal remittance channels and contributing to a more stable dollar market.
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