Remittances near $3b mark, set new record before Eid

Remittances have reached a record high ahead of Eid, with inflows totaling USD 2.94 billion in the first 26 days of March. Of the amount, USD 197 million was received in the last two days alone.

With four days remaining in the month, the figure is expected to surpass the threshold of USD 3 billion, setting a new milestone. According to Bangladesh Bank, the country received USD 2.52 billion in remittances in the previous month, February, averaging USD 113.2 million per day.

The nation is set to celebrate the first Eid after the ouster of the Awami League regime through a mass uprising in August last year. Inward remittance has now been higher than ever before. According to bankers, expatriates are preferring formal channels while sending money home due to declined money laundering.

The bank officials also said the longstanding dollar crisis in banks has eased due to the rise in remittances, and the exchange rate has become stable. The banks are now purchasing remittances at a maximum rate of Tk 123 per USD, as set by the central bank.

According to Bangladesh Bank data, remittances stood at USD 1.66 billion in the first 15 days of March. After four days on 19 March, the total reached USD 2.25 billion, with USD 130 million received on the final day alone.

The amount rose to USD 2.43 billion by 22 March, to USD 2.70 billion on 24 March, and USD 2.94 billion on 26 March. The daily average inflow was USD 110 million in the first week and USD 120 million in the second week.

Usually, remittances peak before Eid. An amount of USD 450 million was sent in the five days leading up to Eid-ul-Fitr last year, averaging USD 90 million per day. The trend suggests that remittance inflows could further increase in the next few days.