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Development Dynamics of Remittances in Bangladesh

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  • Munim K. Barai

Abstract

Remittance inflows in the economy of Bangladesh are getting larger every passing year, matching with the increasing external demand for its manpower. The ensuing development impacts of remittances, as a means of transfer of wealth, on socioeconomic factors are increasingly viewed with importance. Remittances have helped improve the social and economic indicators like nutrition, living condition and housing, education, health care, poverty reduction, social security, and investment activities of the recipient households. The relative weight of remittances has also increased against most of the macroeconomic variables alongside the contribution to GDP. Moreover, Bangladesh has been able to avoid any serious imbalances in BOP’s current account, although it has persistent merchandize trade deficits. Not only that, the export tradable sector has thus far remained unaffected from the Dutch Disease effects of remittances.

Suggested Citation

  • Munim K. Barai, 2012. "Development Dynamics of Remittances in Bangladesh," SAGE Open, , vol. 2(1), pages 21582440124, January.
    • Handle: RePEc:sae:sagope:v:2:y:2012:i:1:p:2158244012439073
    DOI: 10.1177/2158244012439073
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    2. Ebele Stella Nwokoye & Clement Izuchukwu Igbanugo & Stephen Kelechi Dimnwobi, 2020. "International migrant remittances and labour force participation in Nigeria," African Development Review, African Development Bank, vol. 32(2), pages 125-137, June.
    3. Soma Rani Sutradhar, 2020. "The impact of remittances on economic growth in Bangladesh, India, Pakistan and Sri Lanka," International Journal of Economic Policy Studies, Springer, vol. 14(1), pages 275-295, February.
    4. Anupam Das & Adian McFarlane, 2020. "Remittances and disaggregated energy consumption in Bangladesh," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 67(2), pages 251-268, June.
    5. Khan, Adnan, 2020. "A Bibliography Search on International Migration and Remittances Literature during the period of 1971-2020: A Case of Bangladesh," MPRA Paper 108143, University Library of Munich, Germany, revised 2020.
    6. Emam, Md Ali & Chen, Tinggui & Leibrecht, Markus, 2021. "Inward Worker Remittances and Economic Growth: The Case of Bangladesh," Asian Journal of Applied Economics, Kasetsart University, Center for Applied Economics Research, vol. 28(2).
    7. Gloria Clarissa O. Dzeha, 2016. "The decipher, theory or empirics: a review of remittance studies," African Journal of Accounting, Auditing and Finance, Inderscience Enterprises Ltd, vol. 5(2), pages 113-134.
    8. Ronald Kumar & Peter Stauvermann, 2014. "Exploring the nexus between remittances and economic growth: a study of Bangladesh," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 61(4), pages 399-415, December.
    9. Mashrura Kabir Shaeba & Fariha Farjana & Subrata Kumar Datta, 2020. "Leaving Country for Living: Household Level Welfare Assessment from the Destination Preference Lens in Bangladesh," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 12(4), pages 106-106, April.
    10. Mamun, Md. Al & Sohag, Kazi & Uddin, Gazi Salah & Shahbaz, Muhammad, 2015. "Remittance and domestic labor productivity: Evidence from remittance recipient countries," Economic Modelling, Elsevier, vol. 47(C), pages 207-218.
    11. William M. Fonta & Elias T. Ayuk & Jude O. Chukwu & Onyukwu E. Onyukwu & Cletus C. Agu & Innocent O. Umenwa, 2015. "Dynamics of remittance utilization by Nigerian households," Progress in Development Studies, , vol. 15(4), pages 343-357, October.
    12. Emon Kalyan Chowdhury & Bablu Kumar Dhar & Md.Abu Issa Gazi, 2023. "Impact of Remittance on Economic Progress: Evidence from Low-Income Asian Frontier Countries," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 14(1), pages 382-407, March.
    13. Salehin, Anik & Sen, Topon & Munia, Momtaz, 2024. "Unveiling the Dynamics: How Bangladesh has Progressed Over the Last 60 Years," MPRA Paper 121933, University Library of Munich, Germany.
    14. Jahedi, Monika & Minhaz, Kakoli & Gupta, Shittak & Sen, Topon, 2024. "Whispers of Growth: Navigating the Interwoven Currents of Bangladesh’s Economic and Social Evolution," MPRA Paper 122171, University Library of Munich, Germany.
    15. Sen, Topon, 2024. "Key Economic and Social Determinants in Bangladesh: A Multi-Faceted Analysis," MPRA Paper 121227, University Library of Munich, Germany.
    16. Khan, Adnan & Mrs, Sultana, 2021. "International Remittances Literature: A Study in Bangladesh during the period of 1971-2020," MPRA Paper 108290, University Library of Munich, Germany, revised 2021.
    17. Alam, Mahim & Kabir, Janesar & Rajia, Sultana & Sen, Topon, 2024. "Resilience and Renewal: Tracing Bangladesh's Path from Adversity to Economic Emergence," MPRA Paper 121999, University Library of Munich, Germany.
    18. Md. Golam Mostafa & Md. Abdul Wadud, 2024. "Impacts of Remittance and FDI on Economic Growth in South Asian Countries: A Panel Data Analysis," International Journal of Science and Business, IJSAB International, vol. 40(1), pages 92-106.

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    More about this item

    Keywords

    remittances; migration; socioeconomic impact; poverty; marginal propensity to consume; multiplier; GDP creation JEL Classifications: E21; E22; I3; J61; O16;
    All these keywords.

    JEL classification:

    • E21 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Consumption; Saving; Wealth
    • E22 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Investment; Capital; Intangible Capital; Capacity
    • I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • O16 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance

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