Remittances Soar to $2.4 Billion in September

In September 2022, remittances totaled $1.3 billion. Following the political shift after the fall of Sheikh Hasina's government on August 5, the country has seen a significant rebound in remittance flows.

Previously, remittances had declined as expatriates, frustrated by the previous government's policies, increasingly turned to unofficial channels. In July, remittances fell below the $2 billion mark for the first time in months. However, the trend reversed in August and September, with remittance earnings surpassing this crucial threshold once again. Expatriates sent $2.22 billion in August, reflecting growing confidence in formal remittance channels.

A senior official from Bangladesh Bank attributed this resurgence to renewed trust among expatriates, fueled by awareness campaigns and the recent political transition. “The increase in remittance inflow is a positive indicator, and we anticipate this upward trend to persist,” the official stated.

Throughout the fiscal year, remittances have remained robust. July figures stood at $1.91 billion, following strong months earlier in the year: $2.54 billion in June, $2.25 billion in May, and $2.04 billion in April.

The surge in remittances has played a vital role in maintaining the stability of Bangladesh's foreign exchange reserves. As of September 26, the reserves were reported at $19.56 billion according to international standards, while the central bank's internal accounting showed a higher figure of $24.67 billion.

Bangladesh Bank Governor Ahsan H Mansur expressed optimism regarding the foreign exchange reserves, stating they are unlikely to decline further. The recent increase in remittances has significantly bolstered the stability of these reserves, underscoring the importance of expatriate contributions to the nation's economy.