More and more people have been using informal channels than proper banking channels to remit back to Bangladesh amid the dollar price volatility and as a result remittance from Malaysia decreased by $1 billion in FY22.
According to data from the Bangladesh Bank, Malaysia dropped from the fifth largest source of remittances to the eighth after expatriates living there sent $1 billion in FY22 compared to $2 billion sent in FY21.
The Bangladesh Bank Governor Abdur Rouf Talukder on Wednesday, met top executives of three banks that have branches in Malaysia to discuss improving their banking services in order to encourage migrants to send money home through banking channels.
According to central bank sources, the banks are City Bank, National Bank and Agrani Bank.
The three banks were asked by the governor of the central bank to create mobile apps at the meeting on Wednesday in order to facilitate money transfers for remitters.
He also gave them instructions to take steps to promote their mobile apps in Malaysian stores and hire shop owners as agents for mobile financial services like Bkash.
According to meeting sources, the governor of the central bank also directed them to hold events in Malaysia to inform Bangladeshis about sending money through authorized channels.
