Some 43 percent of the remittance-dependent families do not save any money while the reaming 57 percent families save a small portion of the remittance they receive from their expatriate family members. The saving is only 13.47 percent of the total remittance income, as per a survey conducted by the Bangladesh Bureau of Statistics (BBS). They report of the survey, which considered the amount of remittance the expatriate send to their families in 2012, was published last month. The findings of the survey report that a major portion of the remittance is being spent in non-productive sectors like food, education, transportation, purchase of apartments, land, television and cell-phones. The BBS survey, the first of its kind in the country, found that a money-saver family saves an average Tk 27,126 per annum from the amount they receive from their expatriate family members. Keeping a savings of Tk 29,990 per annum, families of Dhaka division are first in the list of money savers while families in Sylhet and Chittagong are in second and third positions who save Tk 28,344 and 26,933 per annum respectively. Keeping Tk 17,392 saved per annum, people of Barisal Division are the least efficient money savers from remittance income. Sources said that BBS started studying the remittance-dependent families in April. Under the survey, BBS first selected a total of 9,961 families as sample from across the country. BBS conducted the survey by selecting participants based on random selection. Dildar Hossain, coordinator of the Survey, said the survey was conducted to find out the sectors where the remittance-dependent families spend the money. “Identifying the remittance-dependent facilities, assessing their socio-economic conditions and medium of sending remittance were also the aim of the survey,” Dildar said. According to the Survey, 66 percent remittance families with savings keep the amount in savings accounts—-seven percent in DPS, five percent in fixed-deposit and six percent in bonds. Some 84 percent of the savings is being put in banks while 16 percent is kept in insurance and other sectors, according to the survey. BBS survey also said that 78 percent of the remittance-dependent families have no alternative source of income. Agriculture is source of income of the 14 percent families while 7 percent families also earn money from service sector in addition to the remittance income. One percent of the remittance-dependent families have another source of income while enjoying the remittance income. The BBS officials said the females are the head of the 48 percent remittance-dependent families. It appears that the female members of the remittance receiving families are playing a vital role in decision making and implementation. Male members are leading the rest 52 percent families. The survey report found a total 46 percent family save Tk 20,000 each year while 21 percent family save Tk 20,000 to Tk 50,000, 16 percent family save Tk 50,000 to Tk 100,000 and 17 percent family save more than Tk 100,000 a year from the remittance income. Bangladesh ranked in the 8th position in the list of remittance earning countries while neighbouring India secured the top position. In 2012, Bangladesh had received $14.09 billion in remittance while India fetched $67 billion. China ranked 2nd place with $58 billion, Philippines ranked 3rd place with $25 billion, Mexico received $23 billion, France received $21 billion, Nigeria $20 billion and Egypt earned $19 billion in remittance. According to the survey, a total 86 lakh Bangladeshi workers live abroad, 88 percent of them left the country without any training. So far, 76 lakh expatriates have no training for their works and the rest of 12 percent have received trainings on technical education, language, driving and computer skills. But the number of physician, engineer, teacher and scholarship-supported students are poor among the expatriates. Most of the expatriates’ educational qualification is bellow SSC while 62 percent is from class I to IX, 16 percent have completed secondary education and 7 percent completed higher secondary education while only 15 percent have completed higher education. Bangladeshi expatriates do not get good jobs for lack of educational qualifications and experience, according to the survey. The BBS officials suggested the government to create skilled manpower and said the demand of skilled manpower is higher in many countries. They suggested taking effective initiatives to hold and expand the foreign labour market. Project director Dildar Hossain told Kaler Kantho that currently, 86 lakh Bangladeshis are living abroad and a huge number of people are still migrating to different countries. He also said though the World Bank has recently termed the remittance-earning as one of the driving forces of Bangladesh’s development, no policy or framework has been formed regarding the remittance inflow and its utilisation. The survey reveals that 97 percent of the expatriates is male while only 3 percent is female. Most of the female expatriates are from Sylhet region. Besides, 96 percent of the total remittance income comes in cash with 4 percent as goods. The survey report also says bank is seemed safe for sending remittance as 68 percent of the remittance is channeled trough the banks. Despite some initiatives taken by the government, 10 percent of the remittance is still sent through illegal hundi. Besides, 7 percent of the remittance is sent trough different online money transfer services like the Western Union. A good amount of remittance is also being carried by individuals to the families, said the survey. According to the survey, majority of the remittance income is spent on unproductive sectors. The expatriates’ earnings are spent in building houses, buying land, television, refrigerator, AC, Fan, telephone, mobile set, ornaments, furniture, vehicle and computer, the survey report said. BBS officials said the spending on unproductive sector is usual but the rate of such spending is comparatively high. The government has to take effective initiatives to ensure investment of the remittance income in productive sectors. The survey showed that some 60 percent of the expatriates are aged below 35 years. Of them, a large section is male and 32 percent of them are married. The survey also reported that the families are spending 19 percent money for buying land, furniture, television, refrigerator, AC, fan, telephone, mobile phone, ornaments, car and computer. Some 33 percent money is spent on food and daily commodities while the same amount of money are spent on buying some other products and rest 15 percent money used as investment or savings. Project Director Dildar Hossain said, the savings rate is only 13.74 percent, which is extremely poor. “A policy is needed to be enacted to increase saving and investment using the remittance income,” he said.
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