Bangladesh, which depends heavily on remittances from the Middle East, is slowly losing its footing there, raising worries about falling inflows and bigger risks ahead.
After the fall of the Hasina government in 2024, remittance inflows initially surged to record highs, but recent trends show the flow is shrinking, particularly from Saudi Arabia, the United Arab Emirates, Kuwait, Qatar, Oman and Bahrain, reports United News of Bangladesh (UNB).
According to the latest Bangladesh Bank data, remittances stood at $2.42 billion in August, down from $2.47 billion in July and $2.82 billion in June.
Year-on-year figures still reflect growth, but the recent downward trajectory points to the turbulence in Middle Eastern markets as a key driver.
Saudi Arabia remains Bangladesh’s single largest source of remittances, hosting nearly three million Bangladeshis.
More than 628,000 workers migrated there in 2024 alone. Yet, despite the sheer numbers, opportunities are shrinking, leaving many migrants struggling to survive and remit, reports UNB.
Every year, tens of thousands return from Saudi Arabia after failing to secure stable work. The Wage Earners’ Welfare Board of Bangladesh reported over 50,000 workers were forced to return in 2024 through the “outpass” process, compared to 58,000 in 2023.
Many migrants spend large sums to secure jobs, only to face months or years without proper employment or residency permits.
The declining inflows from Saudi Arabia are reflected in Bangladesh Bank’s data. In May, remittances from the kingdom stood at Tk 6,524 crore, dropping to Tk 5,763 crore in June, Tk 5,200 crore in July, and further down to Tk 4,800 crore in August.
The United Arab Emirates (UAE), another major remittance hub, is emerging as an even bigger challenge. According to the media reports, the United Arab Emirates has imposed a visa ban on citizens of Bangladesh and eight other countries, effective from January 2026. The restrictions will affect applications for tourist, work, and business visas.
In March this year, remittances from the UAE were Tk 6,201 crore, but they fell to Tk 4,540 crore in April, Tk 3,461 crore in July, and Tk 3,382 crore in August. Economists warn that a full visa suspension could trigger a sharp collapse in remittance inflows from the UAE, reports UNB.
Qatar, too, has shown declining inflows. Remittances dropped from Tk 1,432 crore in June to Tk 1,288 crore in July and further to Tk 1,113 crore in August.
Oman, which banned Bangladeshi workers in 2023, shows a similar downward curve.
Experts warn that unless urgent steps are taken, Bangladesh could face deeper setbacks in remittance inflows from the Middle East, reports UNB.
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