Bangladesh has recorded a notable increase in remittance inflows during the first week of April, reflecting continued strong support from overseas workers and sustained confidence in formal money transfer channels. According to official data, expatriate Bangladeshis sent home 823 million US dollars within the first seven days of April, marking a significant year-on-year rise.
The information was confirmed on Wednesday by Arif Hossain Khan, who stated that remittance inflows have shown steady growth compared with the same period last year. The central bank attributes the upward trend to increased use of legal remittance channels and ongoing government incentive schemes designed to discourage informal transfers.
Strong Year-on-Year Growth in Early April
During the first seven days of April, remittance inflows reached 823 million US dollars, compared with 636 million US dollars recorded during the same period a year earlier. This represents a year-on-year increase of approximately 29.5%, highlighting a robust upward trajectory in expatriate earnings sent back to Bangladesh.
Comparative Remittance Performance
| Period | Remittance Inflow (USD) | Year-on-Year Change |
|---|---|---|
| 1–7 April (current year) | 823 million | +29.5% |
| 1–7 April (previous year) | 636 million | — |
Strong Momentum in 2025–26 Fiscal Year
The positive trend extends beyond the early days of April. From the beginning of the 2025–26 fiscal year up to 7 April, total remittance inflows stood at 27.03 billion US dollars. In the corresponding period of the previous fiscal year, the figure was 22.42 billion US dollars.
This indicates an overall growth of approximately 20.6% year-on-year, underscoring sustained strength in remittance inflows despite global economic uncertainties and fluctuating labour market conditions in several host countries.
Key Drivers Behind the Increase
Officials at the Bangladesh Bank have identified several contributing factors behind the continued rise in remittance flows:
- Greater use of formal channels: More expatriates are opting for banking and authorised money transfer services instead of informal networks.
- Government incentives: Cash incentives and policy support for remittance inflows have encouraged documented transfers.
- Exchange rate stability measures: Efforts to stabilise the foreign exchange market have improved confidence among senders.
- Digital remittance services: Expansion of mobile and digital platforms has made cross-border transfers faster and more accessible.
Impact on Foreign Exchange Stability
Economists note that rising remittance inflows are playing a crucial role in strengthening Bangladesh’s external sector. Increased foreign currency supply has helped support the country’s foreign exchange reserves, easing pressure on the balance of payments and providing stability to the local currency market.
Remittances remain one of the most important sources of external financing for Bangladesh, often surpassing export earnings in terms of immediate liquidity impact. The continued upward trend is therefore seen as a stabilising force amid global financial volatility.
Outlook: Sustained Growth Expected
While global uncertainties persist, particularly in labour markets across the Middle East, Europe, and Southeast Asia, policymakers remain cautiously optimistic that remittance inflows will maintain their positive momentum throughout the fiscal year.
However, analysts also warn that sustained growth will depend on continued labour demand abroad, stable migration flows, and the preservation of incentives that encourage formal remittance channels.
For now, the early April surge offers encouraging signs for Bangladesh’s external sector, reinforcing the critical role of expatriate workers in supporting the national economy.