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TL;DR
- Remittances to Bangladesh surged to $2.07 billion in the first 28 days of August 2024, a $640 million increase from the same period last year, following the resignation of the Sheikh Hasina government.
- Remittance inflows exceeded $2 billion for three consecutive months from April to June but fell below that level in July, with expatriates now more confident in sending earnings through legal channels due to recent political changes.
- Bangladesh received remittances of $1.90 billion in July 2024, down from $2.54 billion in June, with previous months recording inflows ranging from $1.99 billion to $2.25 billion.
- As of August 28, 2024, Bangladesh’s foreign exchange reserves stood at $20.59 billion according to international standards, with the central bank’s own accounting putting the figure at $25.47 billion.
Remittances to Bangladesh have surged to $2.07 billion in just the first 28 days of August, marking a notable increase following the resignation of the Sheikh Hasina government. This inflow, equivalent to over Tk 24,800 crore (at an exchange rate of Tk 120 per dollar), was reported by the relevant department of the central bank on Thursday (August 29).
According to the Bangladesh Bank’s data, this is $640 million more than the remittances received during the same period last year (August 2023), which amounted to $1.43 billion.
A senior official of Bangladesh Bank noted that remittance inflows had exceeded $2 billion for three consecutive months from April but fell below that level in July. However, with the recent political changes, expatriates appear more confident in sending their earnings through legal channels, which is reflected in the increase in remittances.
In July, the first month of the current fiscal year 2024-25, remittances amounted to $1.90 billion. This was a decrease from June, when $2.54 billion was received. In May, the country received $2.25 billion, while April saw $2.04 billion. Earlier months, including March, February, and January, recorded $1.99 billion, $2.16 billion, and $2.11 billion, respectively.
On another note, as of July 31, 2024, Bangladesh’s foreign exchange reserves stood at $20.48 billion, according to international standards (BPM6). This figure remained steady until August 21, before slightly increasing to $20.59 billion by August 28. However, according to the central bank’s own accounting, the reserves are currently at $25.47 billion.
Dr Ahsan H Mansur, the newly appointed governor of the Bangladesh Bank, expressed optimism about the country’s reserves, although he acknowledged that they might decrease in the coming days.
News Source: Jagoo News
