The expatriates are sending bigger amount of remittances to their families for purchase of sacrificial animals and other necessaries ahead of Eid-ul Azha.
Remittances have jumped and stand at $741 million in just four working days in the new fiscal year.
After something like a stumbling block in the just-concluded fiscal year, the country's remittance inflows witnessed a solid start in the new fiscal year 2022-23, which is good news for the country, an official of Bangladesh Bank said.
The remittance inflows stood at $21.03 billion in FY22, a decrease of 15 percent over the previous fiscal, according to Bangladesh Bank data.
Md Serajul Islam, executive director and spokesperson of Bangladesh Bank, told the Bangladesh Post, “Eid-ul-Azha will be celebrated in the country on July 10. The expatriates are sending more money to their families to make necessary purchases including sacrificial animals. That is why, remittances are soaring.”
He mentioned,“The increase in remittance is certainly good news this time as forex market is facing huge demand of US dollar. Imports have started declining due to various reasons. We hope, the money market will return to normal after Eid due to the increase in exports as well as remittances.”
Due to the high demand for dollars in the market, banks are providing more cash incentive to bring in remittances to the country which pushed the remittances up, the banker said.
He said remitters were now receiving around Tk 96 against each dollar based on the calculations of the existing exchange rate of the taka against the US dollar and a 2.5 percent incentive on the amount sent as remittance.
The exchange rate of the taka stood at Tk 93.45 against a dollar on Thursday.
However, Eid-ul-Fitr was celebrated in the country on May 3. Expatriates sent a total of $2.09 billion remittance to the country in April ahead of Eid. It was the highest amount in a single month of the current fiscal year.
However, the country received $22.07 billion in remittances in 2021, which was more than that in any other year in the history of Bangladesh. This inflow was $21.78 billion in 2020 and $18.33 billion in 2019.