Bangladesh has seen a remarkable increase in remittances for the fiscal year 2025-26, highlighting the vital role that expatriates play in the nation’s economy. The total inflow reached approximately $35.59 billion, a notable rise from last year’s figure of $30.33 billion. This substantial growth, according to Expatriates’ Welfare and Overseas Employment Minister Ariful Haque Choudhury, is largely due to increased contributions from various key overseas labor markets.
Growth in Major Remittance Sources
The uptick in remittances was fueled by surges from several significant contributors, with Saudi Arabia leading the pack. The inflow from this Gulf nation jumped from $4.26 billion in the previous fiscal year to $5.85 billion in 2025-26. The United Kingdom followed closely, with remittances climbing from $3.17 billion to approximately $5.07 billion. Such growth illustrates the critical support that Bangladeshi expatriates provide to their families back home.
In addition, the United Arab Emirates reported an increase in remittances from $4.17 billion to $4.58 billion, while Malaysia also experienced a boost, rising from $2.80 billion to $3.40 billion. Notably, both Italy and Oman saw their remittance contributions each reach $2.05 billion, up from $1.65 billion and $1.66 billion, respectively. Additionally, Kuwait recorded an increase from $1.62 billion to $1.76 billion, and Qatar’s inflow rose from $1.21 billion to $1.56 billion.
Emerging Contributors to the Economy
Singapore and South Africa have also become important contributors to the remittance pool. Remittances from Singapore surged significantly from $0.99 billion to $1.49 billion, while those from South Africa rose from $0.40 billion to $0.67 billion. Other countries such as France, Australia, Jordan, and Greece also saw marginal increases, contributing positively to Bangladesh’s overall remittance growth.
Despite the encouraging statistics, some countries experienced a decline in remittances. The United States faced the most significant drop, with inflows decreasing from $4.73 billion in FY2024-25 to just $3.03 billion in the following year, marking a 35.9 percent decline. Canada also reported a sharp decrease, with remittances halving from $0.22 billion to $0.11 billion.
The Overall Impact on Bangladesh’s Economy
The decline in remittances from the U.S. and Canada, coupled with drops from the Maldives and Mauritius, underscores the complexity of Bangladesh’s remittance landscape. The Maldives experienced a decrease from $0.14 billion to $0.12 billion, while Mauritius saw a decline of 42.7 percent, down to $0.08 billion. These shifts are critical for policymakers to analyze, as they could affect the country’s overall economic stability.
The substantial growth in remittances from other nations suggests that Bangladesh can continue to benefit from its expatriate communities. As remittances represent an essential source of income and foreign exchange for the nation, understanding these trends will be vital for future economic planning and development strategies. Overall, the remittance landscape continues to evolve, shaping the prospects of millions of families across Bangladesh.