USD 1.15 bn remittance income in first two weeks of April
Remittances sent home by
Bangladeshis living abroad in the first 15 days of April is more than what came
in the entire month of April last year. They sent more than USD 1.15 billion in
remittances in the first 15 days of April, compared to USD 1.09 billion in
April last year.
Concerned parties say that
Bangladeshis overseas always send a little more in remittances for Ramadan and
Eid, compared to other times of the year. Compounded by the Covid-19 second
wave, remittance inflows have increased significantly.
Of the incoming remittances,
US$847 million came through private banks, about US$302 million through
state-owned banks, and US$4.25 million through foreign banks.
Till 15 April, about half of the
remittances came through Islami, Agrani. and Dutch-Bangla Bank. Remittances
through Islami Bank amounted to US$334 million, Agrani Bank US$130 million, and
Dutch-Bangla Bank US$120 million.
Musharraf Hossain, Additional
Managing Director (DMD) of Islami Bank, told The Business Standard (TBS) about
the increase in remittance inflows, saying people were sending extra money to
their families in Bangladesh to cover expenses for Ramadan and Eid.
Many people are also sending
extra money to cover medical expenses for loved ones infected by the
coronavirus. Many Bangladeshis abroad are facing uncertainty as well since many
of the countries they are in are encountering the second wave of Covid-19 but
are nevertheless sending their savings.
Apart from the 2 per cent
incentive announced by the government, many banks are also giving an additional
one per cent incentive. An additional one per cent incentive is given for
sending remittances to the agent outlet account of Islami Bank.
Where an incentive of Tk 2,000
is given on Tk 1 lakh, an additional Tk 1,000 is added to the agent outlet, and
a total of Tk 3,000 is given to recipients in Bangladesh. The banker thinks
that many abroad are sending more remittances because of the additional
incentives.
According to a recent analysis
by the Center for Policy Dialogue (CPD), illegal remittances have almost
completely stopped as means of normal communication around the world has been
disrupted due to the coronavirus pandemic. So far, more remittances are coming
in legally than before and it all adds up in government coffers. The 2 per cent
incentive has also played a role in increasing the remittance inflow.