• Sunday, March 01, 2015

Remittance rises marginally on poor outflow of workers

Star Business Report

Remittances rose marginally to $1.16 billion year-on-year in February, as the outflow of migrant workers is in decline.
In the first eight months of the fiscal year, remittances fell 7.02 percent to $9.2 billion from the same period last year, according to data from Bangladesh Bank.
Remittance growth is sluggish mainly due to a fall in manpower export, a finance ministry official said. Manpower export fell 10.3 percent year-on-year in the first six months of the fiscal year.
In July-December, manpower export was 2.09 lakh persons as against 2.33 lakh in the same period last year.
Manpower exports to Oman, Saudi Arabia and the UAE fell drastically in 2013, an official of the expatriate welfare and overseas employment ministry said.
The finance ministry, however, expects that remittance will finally increase by 3 percent in the current fiscal year.
Bangladesh Bank officials said achieving 3 percent growth in remittance is difficult.

To achieve 3 percent growth, the country has to ensure a minimum of $1.4 billion remittance every month on average in the remaining four months of the fiscal year.
Although remittance inflow decreased, foreign currency reserves are on the rise. Remittance worth $1 billion has been flowing into the country per month for the last 22 months, which helped build a healthy reserve, the BB official said. The reserves were more than $19 billion on February 25.

Published: 12:00 am Tuesday, March 04, 2014

Last modified: 2:18 am Tuesday, March 04, 2014

TAGS: Bangladesh Bank Finance ministry migrant workers Remittance rises Remittance growth manpower export

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