Bangladesh Sets Record with $35.56bn Annual Remittance Inflows

Bangladesh recorded its highest-ever annual remittance inflow in the 2025-26 fiscal year, with expatriate Bangladeshis sending home a record US$35.56 billion through formal banking channels, highlighting the growing importance of overseas earnings to the country’s economy.

The milestone was confirmed by Bangladesh Bank on Wednesday, marking a historic achievement for the country’s foreign exchange earnings and providing a significant boost to external sector stability.

According to the central bank, Bangladesh received US$35.562 billion in remittances between July 2025 and June 2026. At current exchange rates, the amount exceeds Tk438,128 crore, making it the largest annual inflow of remittances in the country’s history.

The latest figure represents a substantial increase from the US$30.329 billion received during the previous fiscal year. Year-on-year, remittance inflows rose by US$5.233 billion, equivalent to an increase of 17.3%, reflecting stronger use of official money transfer channels by Bangladeshis working abroad.

Officials at Bangladesh Bank attributed the record performance to a combination of policy measures and improved financial services. They said the government’s tougher stance against the informal hundi money transfer system, continued cash incentives for remittances sent through legal channels, greater access to banking services and the expansion of fast digital remittance platforms have encouraged more expatriates to transfer money through authorised financial institutions.

Remittances remain one of Bangladesh’s most important sources of foreign currency, alongside export earnings. The steady growth in inflows has played a crucial role in strengthening the country’s external finances, supporting the balance of payments and helping stabilise foreign exchange reserves amid continued global economic uncertainty.

Although the fiscal year ended with a record annual total, remittance inflows slowed slightly during June.

Preliminary Bangladesh Bank data showed that expatriates sent US$2.8006 billion during the final month of the fiscal year, the lowest monthly total recorded in the past seven months. The June figure was also marginally lower than the amount received in the same month a year earlier.

Central bank officials noted, however, that the preliminary calculation did not include data from 11 banks because of bank holidays at the end of the reporting period. As a result, the final remittance figure for June could be revised upwards once all outstanding information is incorporated.

Prior to June, the lowest monthly remittance figure during the fiscal year had been recorded in October 2025, when inflows stood at US$2.5624 billion.

Industry observers said the softer performance in June was largely seasonal rather than indicative of a broader slowdown.

They explained that remittance inflows typically surge during the months leading up to Eid, as overseas Bangladeshis send additional funds to support their families during the festive period. With the holiday season ending, transfers generally return to more normal levels, contributing to the moderation seen in June.

Monthly remittance figures throughout the 2025-26 fiscal year reflected this pattern. Bangladesh received US$2.4778 billion in July, US$2.4218 billion in August, US$2.6855 billion in September, US$2.5624 billion in October, US$2.8897 billion in November, US$3.2236 billion in December, US$3.1716 billion in January, US$3.02 billion in February, US$3.7522 billion in March, US$3.1273 billion in April, US$3.425 billion in May and US$2.8006 billion in June.

The sustained strength in remittance inflows, combined with robust export earnings, has also reinforced Bangladesh’s foreign exchange reserves.

According to the latest Bangladesh Bank data, the country’s gross foreign exchange reserves have risen to US$37.56 billion. Under the International Monetary Fund’s BPM6 methodology, which measures readily usable reserves, Bangladesh currently holds US$32.90 billion.

Economists have long regarded remittances as a vital pillar of Bangladesh’s economy. Besides providing foreign currency, remittance earnings support millions of households by financing daily consumption, education, healthcare, housing and small-scale investment. Strong remittance growth also helps ease pressure on the country’s exchange rate and improves its capacity to finance imports and meet external payment obligations.

The latest record suggests that policy efforts to channel overseas earnings through formal banking systems are continuing to gain traction. While monthly inflows may fluctuate because of seasonal factors and global economic conditions, the overall trend points to sustained confidence in legal remittance channels and their growing contribution to Bangladesh’s economic resilience.