Bangladesh received $1.76 billion in May, the highest ever in a single month, as per the Bangladesh Bank latest data.
Earlier, the maximum remittance came in January this year, which was $1.60 billion.
"Remittance inflow is increasing due to Eid-ul-Fitr festival. Every year, Bangladeshi expatriates send a huge amount of foreign currencies ahead of Eid ul-Fitr,” Bangladesh Bank Spokesperson and Executive Director Serajul Islam told Dhaka Tribune.
He said that remittance kept increasing since last March and the trend would continue in the remaining days ahead of Eid.
In July-April of the current fiscal year, Bangladeshi expatriates sent $13.30 billion, which was 10% higher than the same period of the previous fiscal year, according to BB data.
Bangladesh received $14.98 billion in remittances in the fiscal year of 2017-18. It was 17.33% higher than the previous (2016-17) fiscal year.
Now the foreign exchange reserves (reserve) of Bangladesh Bank in satisfactory condition owing to the increasing tread of remittance. On Thursday, the reserve stood at $31.33 billion.
The inflow of remittance has increased due to various steps taken by the central bank to stop hundi and high interest of dollar in the local market.
Central bankers have said as the exchange rate has increased significantly in recent times, expat Bangladeshi felt encouraged to remit enhanced amount of money to their dear and near ones.
Besides, move to give fiscal incentive for remittance money in the upcoming fiscal budget also acted as a booster, as the government is mulling to provide as high as 3% incentive on remittance.
“We are expecting the remittance would be increased significantly in the coming months, as policymakers are serious to attract more remittance,” said a banker.
