Bangladesh Bank will have a difficult time to pay the 2 per cent monetary incentive into 80 lakh accounts held by migrants, said finance division officials.
‘Tough task awaits Bangladesh Bank who have to pay 2 per cent monetary incentive on 80 lakh accounts for migrants in the upcoming fiscal’, according to a pre-budget cabinet committee document.
The observation was made during a pre-budget cabinet meeting right before the day of the budget announcement in parliament on Thursday.
The government will provide 2 per cent incentive on money remitted by expatriate Bangladesh from the fiscal year 2019-20 onwards, as stated in the budget proposal.
According to the cabinet document, the government will receive an additional $ 3 billion after the implementation of that fiscal provision.
Prime Minister Sheikh Hasina, in the budget speech, proposed an allocation of Tk 3,036 crore for the incentive.
As per the central bank’s latest data, the country received remittance worth $15.06 billion in the first 11 months of the current fiscal year (FY2018-19). In May, Bangladesh received $1.76 billion—the highest amount of monthly remittance till now.
“Bangladesh’s remittance inflow was $4.9 billion in FY2005-06, which tripled to $15 billion in 2018,” said the Prime Minister in speech.