Bangladesh Bank Governor came up with the disclosure while addressing an inaugural session of the World Conference Series-2014 

The country’s remittance inflows have gradually witnessed a growth of an average of 11% against 7.15% in the other Asian countries during the last four years (FY2009-13) thanks to easy and hassle-free remittance transfer system.

Bangladesh Bank Governor Atiur Rahman came up with the disclosure while addressing an inaugural session of the World Conference Series-2014 titled “NRB Talent, Remittances and Investment for Development’’ held at a city hotel yesterday.

“Remittances in Bangladesh now stand around 10% of the GDP, rising from 5% of the GDP in the beginning of year 2000,” he said.

“Despite global economic recession and political turmoil in the Middle East, Bangladesh’s financial and external sectors continued to remain resilient with the foreign exchange reserves of more than $18bn, which was mainly aided by the robust growth in exports, moderate growth in imports and due to unflinching remittance inflows.”

Describing the growth trends in remittance inflows, Atiur said: The remittance inflow in the FY 2012-13 were around $14.46bn, a 12.59% growth, leading a current account surplus for the last five years, only in south Asia, despite being a trade deficit country.

This demonstrates inherent strength of our external sector and hence that of our currency. And one must give credit to NRBs for attaining this strength, said the governor.

Pointing at the central bank’s steps for ensuring easy and hassle-free remittance transfer system, he said Bangladesh Bank had already simplified approval policy for drawing arrangements between foreign exchange houses and domestic banks.

Thirty-seven banks have already been permitted to set up 1,084 drawing arrangements with 288 exchange houses all over the world for collecting remittances. Responding to this arrangement, some banks have already established exchange houses abroad.

“Bangladesh Electronic Fund Transfer Network (BEFTN) and mobile banking are operating in full-swing to ease remittance disbursement. Micro-finance Institutions (MFIs) are also involved as partners in smooth delivery of inward remittances.”

The central bank has already given licenses to at least three NRB banks to further improve the pace of remittances & foreign investment inflows in the country, said the governor.