Dhaka, Bangladesh (BBN) – The flow of inward remittances dropped significantly in April mainly due to slower development activities in the Middle East countries, officials said.
The remittances from Bangladeshi nationals working abroad were estimated at $1.20 billion in April 2016, down by $88.19 million from the level of the previous month. In March last, the remittances stood at $1.28 billion, according to the central bank statistics, released on Wednesday.
It was $1.13billion in February 2016.
“We expect that the flow on inward remittances may increase this month ahead of the Holy Ramadan,” a senior official of the Bangladesh Bank (BB) told BBN in Dhaka.
The flow of inward remittances, however, dropped by $100.09 million to $1.20 billion in April last from $1.30 billion a year ago, the BB data showed.
“Development activities in the Middle East countries are squeezing gradually because of lower prices of fuel oils in the global market,” the central banker explained.
Bangladesh received $12.25 billion during the July-April period of the FY 16, recorded more than 2.0 per cent negative growth over the corresponding period of the last fiscal.
Currently, 34 exchange houses are operating across the globe and have set up 1127 drawing arrangements abroad to expedite the remittance inflow, according to the central banker.
The BB earlier took a series of measures to encourage the expatriate Bangladeshis to send their money through the formal banking channel, instead of the illegal “hundi” system to boost the country’s foreign exchange reserves.