Remittance hits record high in January

Bangladeshi migrant workers sent a record amount of remittance home in January.
They sent $1.59 billion in inward remittances to Bangladesh in the first month of the year, a new monthly record. The amount is about 15 percent higher than in January 2018.
Migrant workers had sent over $9.08 billion in remittances to the country in the first seven months of the fiscal year, according to data from Bangladesh Bank. The amount over the same period in fiscal 2017-18 was $8.31 billion.
Ahsan H Mansur, executive director of the Policy Research Institute, suggested devaluing the taka’s exchange rate with the dollar further to increase the effect of remittances.
Many countries, including India, China, and Vietnam, have extensively devalued their currency against the dollar, he said, but Bangladesh has done comparatively little.
The researcher said the dollar’s exchange rate had increased 7.0 percent against the rupee in the past six months, but the value of the dollar against the taka had increased only 0.18 percent.
“We believe the exchange rate should be ‘set’ at Tk 85 to a dollar soon to increase export earnings and the value of remittance inflows.”
The inter-bank money market set the price of the dollar at Tk 83.96, but dollars were being sold as high as Tk 85, he said.
“In our opinion, the central bank should raise the inter-bank money market price for the dollar at Tk 85.”
The rise in remittances has also improved Bangladesh’s foreign reserves.
On Sunday, Bangladesh’s foreign reserves stood at $31.39 billion. The amount has not dipped below $31 billion since 2016, reports
Mansur believes the trend of strong remittance inflows will continue this year because of the hardening of the dollar against the taka and various initiatives by the government to tamp down the illegal transfer.
But he says it is unlikely that remittance flows will increase by 17 percent again. The inflows may rise by about 8.0 percent, he said.
Category and Tags
Add a comment
More stories by
Mitsubishi to invest $100m to assemble cars in Bangladesh

Japanese automaker giant Mitsubishi has decided to invest $100 million in Bangladesh to produce its branded vehicles.

Study: 50% Bangladeshi transport workers have eyesight issues

Brac Road Safety Programme and JCI–Dhaka West conducted the survey on 1,200 transport workers in Dhaka last month Around 50% of transport workers in Bangladesh suffer from eyesight problems, said a study by Brac.

Bangladeshis will be richer than Indians by 2030, StanChart Bank says

The 2020s are set to be the Asian decade, with the continent dominating an exclusive list of economies expected to sustain growth rates of around 7%.

Crying helps you reduce body weight: Study

Crying is humans’ natural response to pain, stress, sadness, and happiness, a recent study says.

Biman plane crashes in Yangon airport

Photo: Supplied.A Biman Bangladesh Airlines plane has crashed this evening on the runway at Yangon International Airport, aviation sources told The Myanmar Times.The S2-AGQ - Bombardier Dash 8 Q400 was seen in p...

Follow Business Habit on Facebook, Twitter