Remittance Surge Strengthens Early June Inflows

Bangladesh has recorded a marked increase in remittance inflows during the first ten days of June this year, reflecting continued strength in expatriate earnings and sustained confidence in formal banking channels.

According to the latest data released by the Bangladesh Bank, the country received US$1.2031 billion in remittances between 1 and 10 June. This translates to an average daily inflow of approximately US$120.31 million. Economists suggest that this robust performance is having a positive impact on foreign exchange reserves as well as broader macroeconomic stability.

A spokesperson for the central bank, Arif Hossain Khan, noted that the figure represents a substantial improvement compared with the same period last year, when remittance inflows stood at US$956.19 million. The year-on-year growth highlights a sustained upward trajectory in expatriate income transfers, particularly through formal financial systems.

For the broader fiscal period, Bangladesh has also witnessed strong cumulative inflows. Between July and 10 June of the current financial year, total remittances reached approximately US$33.96 billion, reflecting a 19.31 per cent increase compared with the corresponding period of the previous year. This growth is widely interpreted as a sign of improving compliance with official transfer mechanisms and stronger labour migration performance.

Analysts attribute the rise in remittance inflows to several structural and policy-related factors. These include greater preference among expatriates for formal banking channels, relatively stable exchange rates, and continued government incentives designed to encourage legal remittance transfers. In addition, ongoing digital transformation within the banking sector has significantly simplified cross-border transactions, reducing both cost and processing time.

A review of monthly inflows shows that while fluctuations remain evident, the overall trend is clearly upward. March, in particular, recorded one of the highest monthly inflows in recent history, underscoring the resilience of expatriate earnings despite global economic uncertainty.

Monthly remittance inflows (US$ billion)

The data indicates that monthly inflows during the current fiscal year have generally ranged between approximately US$2.4 billion and US$3.75 billion. Notably, the strong performances in March and May provided significant support to foreign exchange liquidity at critical periods.

Furthermore, in the recently concluded 2024–25 financial year, total remittances reached a record US$33.03 billion, marking the highest annual inflow in the country’s history. This milestone underscores the growing importance of remittances as a stabilising force in Bangladesh’s external sector.

Overall, the strong inflow recorded in early June reinforces expectations of continued resilience in remittance earnings, offering a positive outlook for external balance management and reinforcing the economy’s reliance on expatriate contributions.