The remittance inflow in Bangladesh experienced a slight growth by 2.47% to $15.31 billion in the just-concluded year of 2015 compared to $14.94 billion in 2014.
The rise is attributed to the fall in currency and oil prices in global market.
The country witnessed 2.47% remittance growth last year compared to 8% in the previous year, according to the Bangladesh Bank data released yesterday.
The remitter sent $1.30 billion in the last month of 2015 which was 2.56% higher from $1.27 billion in the same month of previous year.
Bangladesh Bank projected 10% growth in the fiscal year 2016 in its monetary policy for July-December 2015.
But the remittance inflow showed negative growth in the first half of the fiscal year 2016.
The remittance posted slightly negative growth of 0.06% during July-December of fiscal year 2015-16, reaching $7.482 billion compared to $7.487 billion in the same period of the previous fiscal year.
The trend of inward remittance was slower last year due to stronger local currency against dollar when currencies are tumbling in the Asia region, said a senior executive of Bangladesh Bank.
Fall in oil prices have negative impact on remittance inflow from the gulf countries, he said.
From 2010 till mid-2014, world oil prices had been fairly stable at around $110 a barrel, but since June oil dipped below $50 a barrel due to surplus supply.
World Bank in its report on Migration and Remittances: Recent Developments and Outlook, expected a record rise of remittance inflow during the year 2015 in the wake of recent reopening of labour market by Saudi Arabia and global economic recovery.
Though manpower export to the gulf countries increased after reopening the largest labour market, Saudi Arabia, for Bangladesh, the fall in oil price weakened the inward remittance, said a senior executive of a private bank.
Though the trend of remittance inflow was slower last year but it had significant contribution to the country’s foreign exchange reserve.
The foreign exchange reserve crossed $27 billion mark in October last year driven by the remittance inflow.
Moreover, Bangladesh Bank has kept on buying foreign exchange from the market to ease appreciation pressure on local currency.
The exchange rate of local currency against dollar hovered around Tk77.80 over the previous year.
