Remittance posted a significant jump in September thanks to the depreciation of the taka against the dollar.

According to data from Bangladesh Bank, $1.12 billion came in as remittance last month, up 31.57 percent year-on-year.

Bangladeshis living abroad now remit more money through formal channels as their near and dear ones now enjoy better rates against the dollar, an official of the central bank said.

Many banks are offering higher rates against the remitted greenbacks to encourage migrant workers to send money via their channels, he said.

Taka, the local currency, lost 3.68 percent of its value against the US dollar in the last one year, according to data from the central bank.

On October 1, the interbank exchange rate was Tk 83.78 per US dollar, up from Tk 80.80 a year earlier.

The upward trend of remittance inflow, however, will have little impact on the increasing current account deficit on the back of huge import payments made by businesses in the recent period.

The current account deficit registered a record high of $9.78 billion last fiscal year for higher imports against exports.

The central banker said banks were deploying representatives abroad to boost the flow of remittance through legal channels.

At the same time, the central bank has strengthened surveillance against hundi, an illegal cross-border fund transfer process.

The monitoring has revamped remittance inflow from the precarious situation of last year, he added.

Remittance also increased 13.72 percent year-on-year to 3.85 billion in the past three months, including September, this fiscal year.