Remittance through bKash doubles in 2021

Migrant workers and Bangladeshis living abroad sent a whopping Tk2,427 crore through bKash in 2021, giving a testament to the growing popularity of the alternative payment/remitting channel among expatriates.

That means remittance disbursement through bKash shot up by 111% year-on-year in 2021, up from Tk1,151 crore in 2020.

The remittances sent by the expatriates from more than 70 countries are instantly reaching their relatives' bKash accounts through 75 Money Transfer Organisations (MTO) via settlement in 12 commercial banks in Bangladesh.

In continuation of the last few years, the remittance disbursement through bKash is also increasing this year as well and is poised to reach a new milestone. In the first eight months of this year, Tk2,343 crore remittances were disbursed through bKash.

The service, sending remittances through Mobile Financial Services (MFS) like bKash, has gained immense popularity in a short period of time thanks to its hassle-free process which allows expatriates to send money to their loved ones without wasting their valuable time.

Meanwhile, receiving remittances through bKash is also convenient for relatives as they get the opportunity to use the remittances in their bKash account whenever they want. Besides, the facility of receiving remittances anytime from the comfort of the home gives additional relief to the relatives as they can avoid the hassle of withdrawing money from a bank branch during banking hours or from the ATM booth.

"Earlier, my son used to send money to the bank from abroad. It would cost time for him to send money through the bank and it was time-consuming for me as well, as I have to visit a bank branch to withdraw money," said Chattogram's Siddiqur Rahman. "But, now whenever I need money my son sends it immediately to my bKash account."

"bKash is now a trusted platform for me to get the money sent by my son from abroad," added Rahman.

The remittance disbursement service through bKash started a few years ago. It has been rapidly expanding by developing partnerships with leading MTOs in many Bangladeshi diaspora countries.

As a result, the volume of inward remittances through bKash has increased significantly within a short period of time.

Five years ago, in 2018, bKash disbursed remittances amounting to Tk141 crore and it increased to Tk271 crore in 2019.

bKash enlisted some reputed money MTOs so that expatriates can send money easily in a more time-efficient way. Some of those are Remitly, Taptap Send, WorldRemit, Wise, Ria, Merchantrade, Gulf Exchange, Bahrain Financing Company (BFC), Sonali Exchange, CBL Money Transfer, Agrani Exchange, and NBL Exchange.

Apart from exchange houses or bank counters, expatriates can send money from any place at any time using mobile apps and online platforms. And relatives of expatriates in Bangladesh are getting money in their bKash accounts. The transactions are being settled in foreign currency through 12 commercial banks in the country. The money is transferred from abroad to the country instantly. There is no need for the expatriates or their relatives to have a bank account to get money through bKash.

Ali Ahmmed, chief commercial officer at bKash, said the remittances sent by expatriates are enriching not only their families but also the country's economy.

"The hard-earned money of expatriates is also playing an important role in boosting Bangladesh's reserves in these difficult times of the global economy," he said.

He said MFS makes remittances transfer to home easy and instant.

"Keeping these benefits in mind, initiatives should be taken to make it more convenient to bring remittance in Bangladesh," he added.

bKash is not only facilitating easy remittance disbursement, but it has also given a 1% incentive at various times in addition to the 2.5% from the government. The customers can use the money received through bKash as per their needs. One can spend that money by sending money to another bKash account, paying utility bills, school fees, shopping, doing mobile recharge, ticketing, and many other purposes. Credit card bill payments and paying monthly instalments of "Savings" schemes to financial institutions can also be done through bKash. If necessary, one can also "Cash Out" from the agent points or ATM booths.

The relatives of expatriates can withdraw money from around 3 lakh bKash agents spread across the country like human ATMs. Besides, they can "Cash Out" from more than 1,500 ATM booths of 13 leading commercial banks.