Prothom Alo illustration

Bangladesh received USD $1.7 billion inward remittance in December 2022 through the banking channel, up by 4.23 per cent compared to the same month of the previous year, reports UNB.

In November, the expatriates sent home $1.59 billion through the legal channel, according to Bangladesh Bank updated report released on Sunday.

The central bank has been trying to increase inward remittance flow through banking channels by offering incentives and higher exchange rates of the US dollar.

A review of the remittance flow showed that the total remittance received in the first 6 months of the fiscal year 2022-23 (July- December) was $ 10.49 billion.

In the same period of the previous financial year, the expatriates sent $10.24 billion in remittances. Accordingly, in the first 6 months of this fiscal year, Bangladesh received $287 million more in remittances.

The BB spokesperson Mesbaul Haque told UNB that in order to increase remittance inflow, the central bank has increased the exchange rate of US dollar.

In addition to a 2.5 per cent hassle-free incentive for remittance, several banks also provide additional incentives to attract foreign exchange, he said.

Banks will not cut any charge or fee for sending remittances in the legal channel, he said.

Research by Bangladesh Bank found that more than 40 per cent of remittance of expatriate income is sent in the country through hundi or unofficial channel.