Increased manpower export to KSA, Qatar to boost remittance

Remittance inflow into Bangladesh can be expected to receive a significant boost from next year, with the government's success in convincing the Kingdom of Saudi Arabia (KSA) to reopen its labour market to Bangladeshi manpower set to coincide with an uptake in manpower exports to Qatar ahead of the 2022 FIFA World Cup, reports UNB.

Saudi Arabia recently agreed to reopen their market for Bangladesh after six years. The kingdom halted its manpower import from Bangladesh in 2008 over anomalies in recruitment process and involvement of workers in illegal activities there.

Despite that, it remained the number 1 destination for Bangladeshi migrants abroad, as well as source of remittances.

But expert say primarily the KSA will take female household workers, with little impact on the remittance flow. But they said, it will put a positive impact on the remittance flow if the market is open for male workers and everything happens as per commitment.

In 2014 the total remittance was 14, 942. 57 million US dollar while it was 10717.73 million US dollar in 2009 and 3177.63 million US dollar in 2003, as per the Bureau of Manpower , Employment and Training (BMET) information.

Bangladesh earns highest remittance from the KSA. In 2013-14 the amount was 3118.8 million US dollar while 3829.4 million US dollar in 2012-13.

Labour and employment minister Khandker Mosharraf Hossain said that the government would be able to send ‘two-to-two-and-a-half lakh’ people to KSA this year and the number might be increased in the coming years based on demand.

On 10 February, the government signed an agreement with Saudi Arabia over sending Bangladeshi workers to the Gulf country under 12 categories. The recruitment agencies will carry all the costs of the labourers.

Moreover, on 2 March after a visit to Qatar, Khandker Mosharraf Hossain said Qatar will recruit 1.5 lakh more workers from Bangladesh this year without migration fee.

When contacted, additional director, research of Centre for Policy Dialogue (CPD) Khandaker Golam Moazzem said it will be a matter of hope if the workers can go smoothly with lower migration cost.

‘If we are able to send manpower in large volume to Saudi Arabia, the Bangladesh labour market will be established anew. And of course it will have a positive impact on the country's remittance flow,’ he said.

The workers will able to send money back more quickly as migration cost will be very low as per the agreement, he said.

‘I think the concerned ministry will look into matter that more people can go with less migration cost,’ he added.

As per BMET information till January 2015, total overseas employment was 9171139. Of it, a total of 4,09253 people went abroad for jobs in 2013 and 607796 people in 2012 and 568062 in 2011.

Tasneem Siddiqui, Founding Chair of Refugee and Migratory Movements Research Unit (RMMRU) said ‘I think it wouldn't put any impact on the remittance flow considering the present circumstances as the manpower market of KSA is open only for female Bangladeshi workers. The market for male is yet to open.’

‘It will must put a positive impact only when the market is open for the male workers,’ it added.

As per the agreement between KSA and Bangladesh, the KSA will take only household workers primarily and then later they will take worker in 12 categories.

The highest 2640538 people went to the KSA from 1976 to January 2015 while 2329555 went to UAE and 955335 to Oman, among other manpower destination.