Bangladesh’s manpower export drops in 2024, remittance increases

Bangladesh's manpower export decreased by 24% in 2024 compared to 2023, according to the Bureau of Manpower, Employment, and Training (BMET). The country sent 997,008 workers abroad in 2024, down from 1,305,453 in 2023. This drop was caused by the global economic slowdown, conflicts in the Middle East, and the suspension of manpower imports by Malaysia and Oman.

According to data from BMET, Saudi Arabia emerged as the leading destination for Bangladeshi workers, receiving 615,487 workers and accounting for 61.73% of the market share. Malaysia followed with 93,631 workers (9.39%), while Qatar hosted 73,959 workers (7.41%). The UAE received 47,187 workers (4.73%), Singapore 56,210 workers (5.63%), and Jordan 15,330 workers (1.53%). Kuwait employed 32,730 workers (3.28%), Italy 1,162 workers (0.11%), Japan 1,079 workers (0.10%), the UK 3,547 workers (0.35%), and Oman 358 workers (0.03%).

Manpower export to Malaysia, the second-largest destination, dropped significantly in 2024 due to market closure in June. Malaysia hired 93,631 workers in 2024, compared to 351,683 workers in 2023, said a top leader of Bangladesh Association of International Recruiting Agencies (BAIRA).

Deputy High Commissioner of Bangladesh High Commission in Kuala Lumpur, Malaysia Khorshed Khastagir recently said the Bangladesh High Commission in Malaysia is working to reopen this market in 2025.

Bangladesh exported a total of 93,631workers (9.39 per cent) in 2024 as against a total export of 351, 683 (26.94) workers in 2023.

Malaysia recruited a total of 21,009 workers in October, 21,520 workers in September, 46,105 workers in August, a total of 40,329 workers in July, a total of 41,438 workers in June and a total of 35,190 workers in May.

Bangladesh achieved a record manpower export of 1305,453 workers to different countries in 2023, surpassing the previous record of 1135,873 in 2022, according to the Bureau of Manpower, Employment and Training (BMET).

Foreign job placements had been in decline since June this year due to political turmoil surrounding a student-led uprising and the closure of the Malaysian labour market.

Bangladesh is preparing to send trained nurses to Saudi Arabia for the first time. Over 100 nurses are ready to be deployed early next year. This initiative follows a 2022 agreement between the two countries to recruit Bangladeshi health workers. Currently, 3 million Bangladeshi expatriates reside in Saudi Arabia, mostly working in construction and domestic sectors.

“We got a request to send 150 nurses to the Kingdom … If everything goes alright, we can expect the first batch to (fly out) to the Kingdom early next year,” said Shawkat Ali, executive director of Bangladesh Overseas Employment and Services Ltd.

“For our economy, exporting trained nurses to the Kingdom is a big opportunity. We are mostly an import-dependent country, so we need huge amounts of dollars to meet the import bills,” Ali said.

However, high work permit fees (iqama fees) in Saudi Arabia, now at 11,000 Saudi Riyals per year, are causing difficulties. Many workers cannot afford to renew their permits, leading to a rise in deportations.

Despite the decline in manpower export, remittance inflows grew significantly. Bangladesh received $27 billion in remittances in 2024, a 22% increase from $21.92 billion in 2023. Monthly remittance inflows exceeded $2 billion for most of the year. October recorded $2.39 billion, a 21.32% year-on-year increase.

Factors contributing to the rise include an increased official dollar rate and reduced money laundering. The highest remittance in history, $2.59 billion, was received in July 2020 during the COVID-19 pandemic.

Bangladesh faces challenges in its manpower export sector but has seen a boost in remittances, offering a silver lining. To sustain growth, the country must explore new labour markets and address issues like high iqama fees to support its workers abroad.