Remittances drop further 7.4% in October

[bluesky]

Remittances drop further 7.4% in October

According to data from the Bangladesh Bank, expatriate Bangladeshis sent $1.52 billion home in October, which decreased 7.4% from the same month last year and 1% from September

www.dhakatribune.com

Remittances drop further 7.4% in October​

According to data from the Bangladesh Bank, expatriate Bangladeshis sent $1.52 billion home in October, which decreased 7.4% from the same month last year and 1% from September

Tribune Desk
November 1, 2022 9:05 PM

In October, remittances declined further, increasing the pressure on the government to control its macroeconomy in the face of dwindling foreign exchange reserves.

According to data from the Bangladesh Bank, expatriate Bangladeshis sent $1.52 billion home in October, which decreased 7.4% from the same month last year and 1% from September. Since August, the inflow has been on a downward trend, posing a threat to the overall economic stability of the country, according to a central bank official.

The first four months of the current fiscal year have witnessed a 2.03% year-over-year decline in remittances, falling to $7.19 billion.

 

[HttpError]

Why?

 

[Sliver]

Why?

expenses in the country they are earning has increased

 

[bluesky]

Why?

The expatriate workers are probably expecting Taka to further depreciate. Moreover, the Hundi people give them extraordinary rate and many send money via that channel.

This makes our corrupt politicians very happy. They can now send their evil money to Canada via Hundi.

As a result, the bank remittance volume is coming down. However, I expect a govt minister will call a press conference and state that everything will be sorted out before December.

 

[Clutch]

Remittances drop further 7.4% in October

According to data from the Bangladesh Bank, expatriate Bangladeshis sent $1.52 billion home in October, which decreased 7.4% from the same month last year and 1% from September

www.dhakatribune.com

Remittances drop further 7.4% in October​

According to data from the Bangladesh Bank, expatriate Bangladeshis sent $1.52 billion home in October, which decreased 7.4% from the same month last year and 1% from September

Tribune Desk
November 1, 2022 9:05 PM

In October, remittances declined further, increasing the pressure on the government to control its macroeconomy in the face of dwindling foreign exchange reserves.

According to data from the Bangladesh Bank, expatriate Bangladeshis sent $1.52 billion home in October, which decreased 7.4% from the same month last year and 1% from September. Since August, the inflow has been on a downward trend, posing a threat to the overall economic stability of the country, according to a central bank official.

The first four months of the current fiscal year have witnessed a 2.03% year-over-year decline in remittances, falling to $7.19 billion.

They need to drop 74%.

 

[Bilal9]

expenses in the country they are earning has increased

Exactly. Good call !

The expatriate workers are probably expecting Taka to further depreciate. Moreover, the Hundi people give them extraordinary rate and many send money via that channel.

This makes our corrupt politicians very happy. They can now send their evil money to Canada via Hundi.

As a result, the remittance volume is coming down. However, I expect a govt minister will call a press conference and state that everything will be sorted out before December.

I was going to say this exact thing.

If you watch Shomoy TV, Ekhon TV, 71 TV (all of them AL propaganda channels) they all are saying this exact same thing, problems will be sorted out after new years.

 

[bluesky]

They need to drop 74%.

If it is really a 74% drop, our foreign currency reserves will go to a minus figure because our great thieves belonging to the ruling party will keep on over-invoicing when importing and under-invoicing when exporting.

This is how they send their excess money to the Western shores. I believe, these thieves will also corrupt those countries, and the govts there will be forced to expel them.

This is the reason our imports are now more than $80 billion. No wonder, Mujib lamented by saying, "All countries have gold mines but it is BD that has the Thief mines".

শালার সবদেশ পায় সোনার খনি, আর আমি পাইছি শালার যত চোরের খনি।

 

[bluesky]

Indians and Pakistanis, please learn Bengali if you really want to understand the video below. Some Indians know Bengali. But, for Pakistani brothers, it will be a problem. But, you guys can read the table Pinaki is using to explain the situation.

Title: " Why Hasina's pet thieves are converting Taka into dollars"?

 

[bluesky]

Remittances drop further 7.4% in October

Guys, I watched a youtube commentator saying BD private businesses have borrowed quite a few billion dollars from the EU, UK, and American banks. It is something like exporters' credits.

For example, a BD company imports machines or raw materials, and an EU exporter arranges a bank loan for it from an EU bank, and the importer pays back the loan after, say, six months.

This kind of loan volume is now being paid back by Hundi remittance. I believe that this is how our expatriates have reduced the money they send directly by bank remittance.

 

[Sliver]

Guys, I watched a youtube commentator saying BD private businesses have borrowed quite a few billion dollars from the EU, UK, and American banks. It is something like exporters' credits.

For example, a BD company imports machines or raw materials, and an EU exporter arranges a bank loan for it from an EU bank, and the importer pays back the loan after, say, six months.

This kind of loan volume is now being paid back by Hundi remittance. I believe that this is how our expatriates have reduced the money they send directly by bank remittance.

I was able to follow the first two sentences.
whats a hundi remittance?

why would expats pay for BD exporters loan?

 

[Bilal9]

I was able to follow the first two sentences.
whats a hundi remittance?

why would expats pay for BD exporters loan?

Hundi - Wikipedia

en.wikipedia.org

 

[my2cents]

Bucle up for the ride. With falling inward remittances and export orders, you are in for a turbulent holiday season.

 

[mb444]

Bucle up for the ride. With falling inward remittances and export orders, you are in for a turbulent holiday season.

I always like to see the silver lining even in a crisis.

The issue is not that money is not coming into BD, because it is and in increasing amounts from our expatriates abroad.

What is happening is that money is not coming through the official channels.

Well this will cause a problem for the government to balance its books. But flow of money is coming in to BD and its internal economy will continue to grow unabated.

Private sector will cope, they will buy foreign currency through unofficial sources.

There is a simple course out of this. Let the dollar freefloat and stop all the hundi channels. Stop over invoicing and call in bad loans and force banks to comply with existing loan and deposit regulations.

In most cases hundi guys takes loans to operate or maintain high cash balances in accounts without proving the sources of funds.

BB knows every hundi operator and they are all politically connected.

If this forces our banking sector to get its act right then this would be worth.

The only real risk is BAL calculus.... they will lose any free election. If they make the choice to loot as much as possible before being dethroned we are in for a rough ride. If they think they can hang on or do the honorable thing and prepare for a smooth transition this journey would be easier for the country.

 

[Bilal9]

Bucle up for the ride. With falling inward remittances and export orders, you are in for a turbulent holiday season.

Yes you are right talking about the scenario in India.

Accurate pre-dik-sun.

 

[BananaRepublicUK]

I always like to see the silver lining even in a crisis.

The issue is not that money is not coming into BD, because it is and in increasing amounts from our expatriates abroad.

What is happening is that money is not coming through the official channels.

Well this will cause a problem for the government to balance its books. But flow of money is coming in to BD and its internal economy will continue to grow unabated.

Private sector will cope, they will buy foreign currency through unofficial sources.

There is a simple course out of this. Let the dollar freefloat and stop all the hundi channels. Stop over invoicing and call in bad loans and force banks to comply with existing loan and deposit regulations.

In most cases hundi guys takes loans to operate or maintain high cash balances in accounts without proving the sources of funds.

BB knows every hundi operator and they are all politically connected.

If this forces our banking sector to get its act right then this would be worth.

The only real risk is BAL calculus.... they will lose any free election. If they make the choice to loot as much as possible before being dethroned we are in for a rough ride. If they think they can hang on or do the honorable thing and prepare for a smooth transition this journey would be easier for the country.

“Free flow of the dollar”

What a stupid idea!

Not even mighty China allows that!

Stop getting your knowledge from YouTube “experts”!!!

Controlling the rate of dollar allows the government to give preferential rate to exporters and legitimate importers.

Whilst the crooks have to use the so called kerb market where the rates are poor.

Expats using hundi ofcourse depresses the official position of BD.

But expats and their families are getting a good deal at the expense of the crooks at the kerb market.

@UKBengali another nugget from our buddy