Bangladesh has recorded a robust inflow of remittances at the beginning of May, with expatriate earnings continuing to play a pivotal role in stabilising the country’s external accounts. In the first three days of May alone, expatriates sent home approximately 315 million US dollars, according to the Bangladesh Bank. This translates to an average daily inflow of around 105 million dollars.
The information was confirmed on Monday by Arif Hossain Khan, spokesperson for the central bank. Officials say the sustained inflow is helping to reinforce the country’s foreign exchange reserves at a time when global currency markets remain volatile.
Remittances have long been a cornerstone of Bangladesh’s macroeconomic stability. They help finance import payments, ease pressure on the current account, and ensure a more stable supply of foreign currency in the domestic market. In recent years, particularly amid fluctuations in the US dollar exchange rate, remittance inflows have become even more critical for maintaining financial balance.
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Strong year-on-year growth
Central bank data shows a striking year-on-year increase. During the same period last year—May 1 to May 3—Bangladesh received just 88 million US dollars in remittances. This year’s figure represents a more than threefold increase, highlighting a significant acceleration in expatriate income transfers through official channels.
For the current fiscal year 2025–26, remittance inflows from July to May 3 totalled approximately 29.65 billion US dollars. This marks a 20.40 per cent rise compared with the same period of the previous fiscal year, indicating a sustained upward trend.
Monthly remittance performance
Recent monthly data further illustrates this positive trajectory:
| Period | Remittance Inflow |
|---|---|
| January | 3.17 billion USD |
| February | 3.02 billion USD |
| March | 3.75 billion USD |
| April | 3.13 billion USD |
| May (first 3 days) | 315 million USD |
March alone set a historic record, becoming one of the highest monthly remittance inflows in the country’s history.
Factors behind the increase
Economists attribute the rise to several factors, including government incentives for sending money through formal banking channels, stricter monitoring of informal transfer systems, and improved digital banking facilities. The provision of cash incentives for remitters has also encouraged greater use of legal channels.
According to financial analysts, these measures have reduced reliance on informal networks and strengthened confidence in official banking systems.
Economic significance
Bangladesh’s remittance inflows rank second only to its garment export sector in terms of foreign exchange earnings. Millions of migrant workers across the Middle East, Europe, North America, Malaysia, and Southeast Asia contribute regularly to this flow of funds.
Economists believe that if this upward trend continues, it will help maintain stability in the balance of payments, support import financing, and ease pressure on the foreign exchange market. More broadly, the sustained growth in remittances is being viewed as a positive signal of macroeconomic resilience and migrant confidence in the country’s financial system.