Workers’ remittances up 18% to near $ 3 b but monthly inflows slowing

Worker’s remittances inflow in the first five months of 2021 has increased by a robust 18% to near $ 3 billion, though the monthly receipts have been slowing of late. 

As per provisional data of the Central Bank, inflow in May was $ 460.1 million, up by 6.5% from $ 432 million a year ago. The January-May 2021 figure was $ 2.85 billion, as against $ 2.4 billion in the corresponding period of last year. 

The May figure, however, was the lowest in recent months. In April, Sri Lanka received $ 519 million, up 38% year-on-year. 

The Central Bank said the high growth rate in April was attributed to the base effect of the corresponding month in the previous year when the first wave of the COVID-19 pandemic set in, as well as the seasonal impact due to the Sinhala and Tamil New Year.

In January this year, inflow was a record $ 675 million and amounted to $ 580 million and $ 612 million in the following two months. In the full year of 2020, workers remittances amounted to $ 7.1 billion, up by near 6% from 2019, in which year inflows were down by 4% to $ 6.7 billion from 2018.