Bangladesh’s remittances rose to US$2.56 billion in October, recording a 7 percent year-on-year growth and giving a fresh boost to the economy.
The growth rate slowed significantly compared to previous months in the current fiscal year, FY2025-26.
According to the latest data released by Bangladesh Bank, expatriates sent $2.56 billion in remittances in October 2025, up from $2.39 billion recorded in the corresponding month a year earlier.
However, the inflow for October was 4.54 percent lower than the $2.68 billion remitted in September 2025.
The 7 percent growth in October marks a deceleration from the stronger growth observed in the preceding months-September by 12 percent, August 9 percent and July 30 percent of the FY2025-26.
Despite the slowdown in the year-on-year growth rate for the month, the country has generally been witnessing a growing trend in remittance inflows since December last year.
The factors driving the uptrend of remittance attribute the sustained increase overseas in flows over the past year to a combination of factors:
Narrowing Exchange Rate Gap: A smaller difference between the official and informal (hundi) exchange rates has incentivized workers to use formal banking channels.
Crackdown on Money Laundering: Increased regulatory scrutiny and action against illegal money transfers have pushed remittances toward legal avenues.
Renewed Patriotism: A heightened sense of patriotism among expatriates following the political changeover last year has reportedly contributed to their decision to remit funds through official channels.