Bangladeshi Migrants Remittance from major countries shoots up

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Bangladeshi Migrants Remittance from major countries shoots up

Remittance from major countries shoots up

 

Remittance from major countries except the US shot up by 16-55 percent year-on-year in 2012, due to an increase in Bangladeshi wage earners abroad and their incomes.

Inflows from the US have dropped 2.5 percent to $1.67 billion in 2012 from the previous year, due to the sluggish economy.

Bangladesh typically receives the third highest amount of remittance from the US.

“Many of the Bangladeshis working in the US are on a temporary payroll. They are saving for the rainy weather instead of sending money back home,” said an official of the ministry of expatriate welfare and overseas employment.

Moreover, the majority of the Bangladeshis heading to the US are skilled professionals, who prefer to build up savings instead of sending remittance, the official said.

Last year, Bangladesh received a record $14.17 billion in inward remittances, a 16.43 percent year-on-year increase.

The nation receives the highest amount of remittances from Saudi Arabia, according to central bank statistics. Last year, remittances from the kingdom stood at $3.97 billion, a 16 percent increase year-on-year.

The second highest inflow was from the United Arab Emirates (UAE); remittance increased by 26 percent year-on-year to $2.75 billion.

Remittances from Oman rose 55 percent to $525 million last year, the biggest jump.

Remittances from Malaysia increased about 17 percent year-on-year to $939 million, while from the UK it rose 13.5 percent to $1.05 billion.

Both the rise in manpower exports and income of the Bangladeshi wage earners in the Middle-East contributed to last year's increased remittance figures, a Bangladesh Bank official said.

Although manpower exports to Kuwait have been on hold in recent times, remittance still increased from that region. Remittances rose to $1.18 billion in 2012, up 1.1 percent from 2011.

Last fiscal year, manpower exports increased 57 percent, with the total number of workers sent abroad being 691,402, according to the central bank statistics.

Only in fiscal 2007-08, when around 981,102 workers went abroad for jobs, were higher numbers seen in the country's 41-year history.

Remittance inflow goes up by $1,000 to $1,100 a year with every new expatriate, said World Bank's (WB) latest study.

About 66 million Bangladeshis are currently working abroad, with each migrant sending $1,672 per year on average, according to WB statistics.

In India, the average remittance per head is $4,843, whereas for China it is $6,112.

The reason for Bangladesh's low remittance per head, as per WB, is that the majority of the Bangladeshi wage earners are unskilled labourers.