<div><span style="font-size: 1rem;"><b>Bangladesh’s inward remittances increased through legal channels as the banks are providing additional incentives to attract remittances.</b></span><br></div><div><br></div><div>However, the expatriates sent inward remittances of $1.97 billion in October through banking channels. The amount is the highest in the last three months.</div><div><br></div><div>According to the data of the Bangladesh Bank (BB), the banking channel received $1.97 billion in inward remittances in October.</div><div><br></div><div>Md Mezbaul Haque BB spokesperson said that inward remittances flow increased for time befitting initiative of the central bank.</div><div><br></div><div>He said the central bank instructed banks to provide additional incentives from their financial sources, which plays a role in increasing the flow of inward remittances in the legal channel.</div><div><br></div><div>With the government's 2.5 percent incentive on expatriate income, banks can buy dollars at an additional 2.5 percent higher price. A total of 5 percent is getting incentives. As a result, remittances are coming to the country through legal channels.</div><div><br></div><div>Executive director of the private research institute South Asian Network on Economic Modeling (SANEM) Prof Dr. Salim Raihan said that the long-term benefits of remittance incentives will not come.</div><div><br></div><div>He said that the government would give an additional two and a half percent to the dollar rate. A total of 5 percent incentive on remittances such a move will boost remittances temporarily. But there will be no long-term solution.</div><div><br></div><div>Dr. Raihan said,” To increase remittances, hundi should be stopped. If you want to stop hundi, you have to stop money laundering. Now a lot of money is being smuggled abroad. It has to be controlled by any means,” reports UNB.</div><div><br></div><div>He said that more incentives the banks give, the people invlvoing hundi business will give more incentives.</div><div><br></div><div>"So as long as the hundi remains rampant, the expected remittances will not come through legal channels," he added.</div><div><br></div><div>bnbd24/fas</div><div><br></div>