Bangladesh to retain 2pc incentive on remittance in FY21

Inspired by the response from expatriate Bangladeshis to the 2 percent incentive on remittances in the outgoing fiscal year, the government has proposed to continue with the facility in FY21.

The coronavirus pandemic has disrupted diaspora remittance by Bangladeshis abroad with hundreds of thousands of migrant workers returning home and most of the rest struggling to cope up with lockdowns in large parts of the world.

Still, remittance inflow grew by 8.72 percent to $16.56 billion in 11 months of the outgoing fiscal year, beating export earnings for the second consecutive month in May in a first.

It also spurred foreign currency reserves to record $34.23 billion.

Kamal had taken credit for the achievements in remittance earlier, noting the 2 percent incentive and measures to relax some rules due to the virus crisis.