Bangladeshis living and working abroad send money to Bangladesh is 16.69 billion GBP in the first eight months of the current fiscal year (July 2020-June 2021), up over 33% from a year earlier, according to data released by the country’s central bank. According to the Bangladesh Bank (BB), remittances totalled 1.78 billion US dollars in February alone.
This is an increase of more than 22% over the 1.45 billion dollars earned in the same month of the 2019-20 fiscal year. International Money transfers to Bangladesh is one of Bangladesh’s primary sources of foreign exchange, with most remittances coming from Gulf countries. According to BB figures, Bangladesh earned $12.50 billion in remittance in the first eight months of the previous fiscal year (July 2019-June 2020). In the 2019-20 fiscal year, Bangladesh’s remittances reached an all-time high of 18.20 billion GBP.
What Are The Significant Steps Taken By Bangladeshi Administration To Enhance Money Transfers From Abroad?
AHM Mustafa Kamal, minter for Finance in Bangladesh, had stated that the government is providing a 2% monetary reward on money remitted by expatriate Bangladeshis. This initiative is taken to alleviate the burden of increased money transfer expenses and facilitate remittances through legitimate methods.
It stated that the banks would offer the beneficiaries incentive based on the amount exchanged into local currency. Sending money to Bangladesh online must be returned via a legal channel, such as a foreign exchange house or a bank or mobile e-wallets, that agrees with the local bank.
How Is Covid-19 Pandemic Effecting Domestic and International Payment System?
The pandemic has directly impacted the finance industry, with investments and remittance rates drastically reduced as companies and customers cut back on non-essential transactions.
There have been some good results as well. As a result of government limits on people’s movements and business activities, more customers and companies turn to digital banking and prefer online money transfer to Bangladesh and other home countries. Simultaneously, service providers have rushed to launch revolutionary goods that meet current consumer needs and aid in the fight against the coronavirus.