Bangladesh’s inward remittance surge rakes in record $3.29bn in March

The central bank cites dollar stability, Eid demand and crackdown on hundi as key factors behind the wide inflow

Remittance inflow surged to a record $3.29 billion in March, the highest ever for a single month, Bangladesh Bank has said.

The figure marks a sharp 64.7 percent rise from $1.99 billion received in March 2024, said Arief Hossain Khan, executive director and spokesperson for the central bank, while speaking to reporters on Sunday.

Prior to this, the highest single-month remittance was recorded in December 2024 at $2.64 billion, followed by $2.53 billion in February this year, according to central bank data.

The bank had already projected a record-breaking month, as remittance inflow reached $2.94 billion in the first 26 days of March.

From July 2024 to March 2025, expatriates sent $21.78 billion through official channels, up from $17.07 billion during the same nine-month period a year earlier — a 27.6 percent year-on-year increase.

Mohammad Ali, managing director and CEO of Pubali Bank, cited three key factors behind the spike in remittance.

“Since Aug 5 last year, expatriates have increasingly used banking channels to send money, largely out of patriotism,” he told bdnews24.com.

He also pointed to the stabilising dollar rate.

“When the dollar rate is steady, it builds confidence in the market,” Ali said.

He also believes the recent political shift, which led to the arrest of some individuals, weakened the hundi market.

“With the underground hundi networks disrupted and lower returns on the dollar there, many have opted for banks instead. We expect even higher inflows going forward,” he added.

Sheikh Mohammad Maroof, managing director of Dhaka Bank, linked the March surge to Eid.

“Remittance usually goes up ahead of Eid. A review of the last 10 years of data shows that expatriates send more money before the festival,” he said.

In late January, the dollar rate surged to Tk 128 amid rising demand, leading banks to purchase remittances at Tk 126.

In response, Bangladesh Bank intervened, setting a maximum remittance rate of Tk 122 per dollar while allowing banks a margin of Tk 1 for buying and selling.

At the same time, Governor Ahsan H Mansur issued a directive requiring banks to maintain uniform exchange rates for remittances and exports.

He also mandated a maximum Tk 1 spread on dollar transactions, warning of penalties for non-compliance.