Bangladesh remittance surges to $1.66bn in 15 days, eyes new record

The surge comes ahead of Eid-ul-Fitr as remittance flows remain above $2bn for seven consecutive months

Expatriate Bangladeshis have sent $1.66 billion in remittances in the first 15 days of March, raising expectations of a new record, according to Bangladesh Bank data released on Sunday.

If the current pace continues, remittance inflows may set a new benchmark, several treasury heads of banks have said.

Bangladesh’s highest-ever monthly remittance was recorded in 2024, reaching $2.64 billion, while the second-highest inflow came in February this year at $2.54 billion.

A treasury head of a private bank told bdnews24.com that remittance inflows typically rise ahead of Eid.

As this year’s Eid is expected to fall on Mar 31 or Apr 1, remittances have already surged in the first half of the month.

He pointed out that last year’s Eid took place around Apr 10 or 11, with remittance reaching $2.04 billion that month.

In March of that year, remittance inflows did not cross the $2 billion mark.

The banker also said the decline in informal Hundi transactions following the change in government could be a key reason behind the stronger remittance inflow through banking channels this year.

Bangladesh Bank data shows that remittance inflows have remained above $2 billion for seven consecutive months.

In late January this year, the dollar rate soared to Tk 128 due to rising demand, with some banks purchasing remittance at Tk 126.

In response, Bangladesh Bank set the maximum remittance exchange rate at Tk 123.

The forex market had stabilised for several months, but recent fluctuations prompted the central bank to step in.

Against this backdrop, Governor Ahsan H Mansur has verbally instructed all banks to offer the same rate for remittances and exports.

He also directed banks to maintain a maximum spread of Tk 1 in foreign exchange transactions.

Banks were warned of penalties for non-compliance with these instructions.