It is a matter of hope that the country’s foreign exchange reserves have increased to more than 21 billion dollars.
According to Bangladesh Bank data yesterday, such a record rise in receiving foreign currencies, the US dollar in particular, gives some respite to the economy that has been facing multipronged macroeconomics trains because of depletion of foreign-exchange reserves.
However, in recent times, the lack of dollars has emerged as a major crisis in the economy of Bangladesh.
The collapse of the Bangladesh taka against the dollar and the collapse of reserves are now at the center of discussion.
The inflow saw a spike after the ouster of the Awami League government on 5 August, with more than $2 billion coming every month since then, as per the latest statistics published by the central bank.
In December, a record $2.63 billion came in, up 33 percent from a year ago. So, efforts should be made to restore the economy by increasing reserves to prevent decline.
It is to be noted that foreign exchange reserves have been consistently reduced.
The fall could not be prevented even by reining in the cost of imports.
Despite the decrease in imports, Bangladesh Bank had to sell a lot of dollars from reserves to pay the urgent import and outstanding bills of government institutions due to the crisis in banks.
According to media reports, due to various reasons including efforts to restore good governance in the banking sector, stop selling dollars from the reserve, the demand for hundi is decreasing and remittances are increasing in banking channels.
Bangladesh has received around $28 billion in remittances this year, which is 22 percent more than last year, as money laundering decreased in the last five months of the year.
After the fall of the Hasina government, the flow of expatriate income increased gradually.
It goes without saying that repatriation income is playing a very important role in the economy of Bangladesh.
Economists are suggesting the government take various initiatives to increase the flow of remittances.
Now the flow of remittance or expatriate income is giving hope. This hope must be maintained at any cost.
