Remittance inflow grows 11pc in 5 months amid November uptrend

M Ibrahim Ibne Towhid | Published: 22:26, Dec 03,2017 | Updated: 00:11, Dec 04,2017

 
 

Remittance inflow rose by 10.8 per cent in five months of the current fiscal year compared with that in the same period of last fiscal year as the inflow maintained an upward trend in November.
In July-November of the FY 2017-18, the country received $5.7 billion in remittance against $5.2 billion posted in the same period of the FY 2016-17, with an increase of 10.8 per cent, according to the Bangladesh Bank data released on Sunday.
In November, remittance inflow grew by nearly 28 per cent to $1.12 billion compared with that in the same month of FY17.
In November of last fiscal year, the amount of inward remittance was $0.9 billion.
BB officials said the trend was positive as the remittance inflow increased for the second month in a row after a disappointing September in terms of remittance earnings.
If the five months of FY18 and the entire FY17 are taken into consideration, the remittance inflow was the highest in August this year when the remittance worth $1.4 billion was received.
BB officials said the inflow of remittance rose due to increased monitoring and drives of the central bank against illegal money transfer activities by the mobile financial services.
They said as the dollar price increased in the banking channel, the remittance senders were also getting good returns against their hard-earned foreign currency.
BB officials said though the remittance inflow in five months of the current fiscal year was encouraging after two disappointing years (FY 2016-2017 and FY 2015-2016), the inflow must improve further to touch the peak again.
The inflow hit a record $15.32 billion in FY15 but it came down to $14.93 in FY16 before slumping to a six-year low at $12.76 billion in FY17.
Meghna Bank managing director Mohammad Nurul Amin said it was appreciating that the amount of remittance again started to grow and the inflow rose for two months.
He said the strict measures taken by the central bank and the other banks to stop remittance inflow through the illegal channels and the introduction of remittance awards prompted the wage earners to send more remittances in the legal channel.
Large amounts of remittances are now coming through mobile financial services, and recently the distribution channels of the MFS providers have become stronger to reach remote villages and rural areas, he added.
The inward remittance figure in the private commercial banks stood at $920.19 million, while the state-run commercial banks received $269.67 million, foreign commercial banks received $15 million, and the specialised development banks received $9.89 million, according to the BB data as of November 30.
Among the private commercial banks, Islami Bank Bangladesh received the highest amount of remittance — $205.9 million, while Agrani Bank got the highest amount — $103.97 million — of remittance among the state-run banks.

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