Bangladesh’s Remittance Future Faces Growing Uncertainty

Bangladesh’s economy remains heavily reliant on remittances from migrant workers—a crucial source for foreign reserves, debt servicing, and import financing.

While remittance inflows remain strong, with over USD 30 billion received in the 2023–24 fiscal year, economists and migration experts are raising concerns about the long-term sustainability of this dependence. In March alone, the country hit a record USD 3 billion in monthly remittances.

According to the Bureau of Manpower, Employment and Training (BMET), nearly 15 million Bangladeshis live abroad, with 6 to 6.5 million regularly sending money home. Over 34 percent of these migrants work in Middle Eastern countries, primarily in manual labour. Saudi Arabia, the UAE, Oman, Kuwait, and Qatar top the list of remittance sources.

However, shifts in labour policies are narrowing the job market. The UAE has stopped hiring Bangladeshi workers, Oman’s market remains shut, and Malaysia has suspended new intakes. Even Italy, a major European destination, is becoming harder to access legally.

A recent Dhaka University study highlights that the majority of remittances come from low-income, blue-collar workers. While their remittances sustain the national economy, their lives abroad are often marked by exploitation, poor working conditions, and broken promises.

BMET data shows 1.3 million workers left the country in 2023, but only 1 million did so in 2024. Many of those who migrated last year have already returned—often empty-handed. The Wage Earners’ Welfare Board reports that over 80,000 workers returned in 2024 using ‘outpasses’—a sharp rise from just over 50,000 a decade ago.

Many returnees had sold family property or borrowed heavily to finance their migration. With jobs falling through, some returned home undocumented after losing legal status.

Mental distress is widespread among struggling migrants. A 2024 survey by the Refugee and Migratory Movements Research Unit (RMMRU) found their average life expectancy to be just 37 years—far below the national average of 70. Alarmingly, 15 percent of migrant deaths are suicides, while 31 percent die from unnatural causes.

“Migrant workers are treated as nothing more than money machines,” said Marina Sultana, Director of RMMRU. “They send money that boosts reserves, yet policymakers fail to protect their rights or futures.”

She noted that while countries like Nepal and Sri Lanka are exporting skilled workers, Bangladesh continues to send mostly unskilled labourers. Female migration to promising markets like Hong Kong and Singapore remains underutilised.

“Without ethical recruitment and proper training, remittances cannot remain a stable economic pillar,” Marina warned.

Corruption and malpractice by recruiting agencies add to the problem. A High Court report revealed that 17,777 workers could not go to Malaysia due to agency failures. The agencies also charged excessive fees, far above the government’s fixed rate of Tk 78,990.

An Anti-Corruption Commission report confirmed that some agencies charged up to Tk 500,000 per worker and embezzled over Tk 1,000 crore between 2021 and 2024.

Though around 3,000 agencies are licensed to send workers abroad, many remain shielded by political connections and operate unchecked.

As the global demand for skilled labour rises—especially with countries like Saudi Arabia tightening standards ahead of the 2034 FIFA World Cup—experts urge Bangladesh to shift its focus. Relying solely on record-breaking remittance numbers without safeguarding migrant welfare may lead to long-term economic instability.