Bangladesh Bank has cautioned that the country’s remittance inflows may decline if the ongoing US–Iran conflict in the Middle East becomes prolonged or expands geographically. Nearly half of Bangladesh’s total remittances currently come from Middle Eastern countries, and the central bank’s latest report notes that while the flow remains strong, its future stability depends on how long the regional tensions persist. A short-term conflict may have limited impact, but a sustained crisis could significantly reduce remittance earnings.

The report highlights that remittance inflows reached USD 8.67 billion in the October–December quarter, up 14.38 percent from the previous quarter and nearly 20 percent higher year-on-year. Saudi Arabia contributed the highest amount, followed by the UAE, the UK, Malaysia, and the US. During the same period, 293,474 workers went abroad, most of them to Saudi Arabia. From July to mid-March, total remittances stood at USD 24.65 billion, a 22.6 percent increase from the previous year.

Bangladesh Bank stated that if the current trend continues, the country’s foreign exchange reserves could strengthen further, though geopolitical uncertainty remains a key risk factor.