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June 9, 2025, Bangladesh’s economy has received a positive boost from a steady flow of remittances, particularly ahead of Eid-ul-Adha. According to Bangladesh Bank, expatriate Bangladeshis sent $2.75 billion in remittances during the first 11 months (July 2024 to May 2025) of the 2024-25 fiscal year, marking a 28.7% increase compared to the same period in the previous fiscal year. The largest contribution to this growth has come from Bangladeshi workers in Saudi Arabia.
In May 2025 alone, expatriates remitted $297 million, a 31.7% increase compared to the same month last year. Of this, $53.34 million came from Saudi Arabia, accounting for approximately 18% of the total remittances. The United Arab Emirates followed with $35.15 million (11.84%), the United Kingdom with $34.68 million, Malaysia with $34 million, and the United States with $22.36 million. Other countries in the top 10 include Oman, Italy, Kuwait, Qatar, and Singapore.
A recent directive from Bangladesh Bank has improved the identification of the actual source countries of remittances. Previously, the country of registration for exchange houses was often recorded as the source, leading to countries like the United States or the UAE frequently appearing at the top. With the new directive, remittances are now reported based on their actual source, enhancing transparency.
While Saudi Arabia leads in contributions, significant remittances also flow from the UAE, the UK, Malaysia, and the US. This surge in remittances has bolstered Bangladesh’s foreign exchange reserves and overall economic stability. However, migration experts note that illegal money transfer channels (hundi) and the prevalence of low-skilled jobs are hindering remittances from reaching their full potential.
AI/MR
