Written by The Banking Post
Remittance inflows from the United States surged nearly 60% in FY25, making it the single largest source of expatriate earnings for Bangladesh, according to Bangladesh Bank data.
Official figures show Bangladeshi migrants in the US sent home $4.73 billion during the fiscal year, up 59.8% from FY24. The US accounted for around 15% of the country’s total remittance receipts of $30.3 billion.
Bank officials and industry insiders attribute the sharp rise to favourable exchange rates, the government’s cash incentive scheme, and a gradual shift away from informal hundi channels to formal banking routes.
“Cash incentives and competitive exchange rates were the key drivers,” said a senior Bangladesh Bank official. He added that better job security and earnings for Bangladeshi expatriates, alongside stricter enforcement against informal transfers, further encouraged the use of official channels.
Saudi Arabia ranked second with $4.26 billion in remittances, while inflows from the UAE dropped 10.1%. The UK posted a 13.4% increase to $3.2 billion.
Remittances continue to play a crucial role in Bangladesh’s economy, bolstering foreign exchange reserves, stabilising the currency market, and supporting import payments. An estimated 13 million Bangladeshis live and work abroad.
