Manpower export suffers setback in February
A Z M Anas | Tuesday, 3 March 2009
Bangladesh's manpower exports tumbled by nearly 63 per cent in February, according to official data, as crisis-ridden Middle-eastern nations have started freezing new recruitment.
Some 43,856 Bangladeshis found overseas jobs in February, compared to 71,716 during the same period last year, the BMET date said Monday, casting doubt on the sustained flow of remittances.
The state-run Bureau of Manpower, Employment and Training (BMET) said foreign employment was down by 6776 or a 13 per cent decline on the month-over-month basis.
Officials and economists say they are not surprised at the steep decline in workers' jobs abroad, as the global economic landslide taking its toll on the major Gulf region, Bangladesh's biggest market for manpower.
The oil-rich region is also linked to Bangladesh's growth story, with around 63 per cent of the country's remittances coming from the Middle-eastern economies.
"We've started to feel the pinch. It's the crisis that has weighed on manpower recruitment by the Middle-eastern countries," a BMET official said.
"The impact is still unclear. We've to wait for some more months. Then we can conclude what will be the real impact," he added.
The United Arab Emirates (UAE), which became the biggest employer of Bangladeshi workers last year, hired nearly 23000 migrants in February, down by 5926 at the same period last year. In January, the UAE recruited 27883 Bangladeshis.
Recruitment in Saudi Arabia took a sharp dive in the reported month as the kingdom hired only 1317 Bangladeshi workers. The Arab nation, which is home to an estimated 2.0 million non-resident Bangladeshis, recruited 18,691 job-seekers in February last year.
Malaysia hired 5279 Bangladeshis last month, followed by Oman (3165) and Singapore 2824. Bahrain took 2699 workers from Bangladesh.
Last month, Bangladesh Association of Recruiting Agencies (BAIRA), the trade group, warned that manpower exports would halve this year as the fallout of the worst economic crisis in many decades.
Ahsan H. Mansur, executive director at Policy Research Institute, a local think tank, said he was not surprised at the drop-off in manpower recruitment by Bangladesh's major markets, particularly the Gulf ones.
Mr Mansur, who oversaw the Middle-east region of the International Monetary Fund, said even though labour exports decreased, it might be a "temporary" phenomenon, given that fact the Middle-east requires more workers to implement its US$2.0 trillion worth development projects.
"Many projects are going to be put on hold. Old ones will be completed in a year or two. But new projects will be delayed. If that happens, we'll see the negative impact in the years to come," he told the FE.
He, however, struck an upbeat tone about the future, saying if oil prices go back to the level of $60-$70 per barrel, the Middle-eastern countries will be tempted to revive the stalled projects. "That will spur demand for more foreign employment."
He said that the flow of remittances may slow down, but "it is difficult to predict whether it will decline or not." "It's a matter of time when it happens."
Last year, the country hauled nearly US$8.0 billion in remittances, boosted by a record 8.75 million overseas jobs.
Some 43,856 Bangladeshis found overseas jobs in February, compared to 71,716 during the same period last year, the BMET date said Monday, casting doubt on the sustained flow of remittances.
The state-run Bureau of Manpower, Employment and Training (BMET) said foreign employment was down by 6776 or a 13 per cent decline on the month-over-month basis.
Officials and economists say they are not surprised at the steep decline in workers' jobs abroad, as the global economic landslide taking its toll on the major Gulf region, Bangladesh's biggest market for manpower.
The oil-rich region is also linked to Bangladesh's growth story, with around 63 per cent of the country's remittances coming from the Middle-eastern economies.
"We've started to feel the pinch. It's the crisis that has weighed on manpower recruitment by the Middle-eastern countries," a BMET official said.
"The impact is still unclear. We've to wait for some more months. Then we can conclude what will be the real impact," he added.
The United Arab Emirates (UAE), which became the biggest employer of Bangladeshi workers last year, hired nearly 23000 migrants in February, down by 5926 at the same period last year. In January, the UAE recruited 27883 Bangladeshis.
Recruitment in Saudi Arabia took a sharp dive in the reported month as the kingdom hired only 1317 Bangladeshi workers. The Arab nation, which is home to an estimated 2.0 million non-resident Bangladeshis, recruited 18,691 job-seekers in February last year.
Malaysia hired 5279 Bangladeshis last month, followed by Oman (3165) and Singapore 2824. Bahrain took 2699 workers from Bangladesh.
Last month, Bangladesh Association of Recruiting Agencies (BAIRA), the trade group, warned that manpower exports would halve this year as the fallout of the worst economic crisis in many decades.
Ahsan H. Mansur, executive director at Policy Research Institute, a local think tank, said he was not surprised at the drop-off in manpower recruitment by Bangladesh's major markets, particularly the Gulf ones.
Mr Mansur, who oversaw the Middle-east region of the International Monetary Fund, said even though labour exports decreased, it might be a "temporary" phenomenon, given that fact the Middle-east requires more workers to implement its US$2.0 trillion worth development projects.
"Many projects are going to be put on hold. Old ones will be completed in a year or two. But new projects will be delayed. If that happens, we'll see the negative impact in the years to come," he told the FE.
He, however, struck an upbeat tone about the future, saying if oil prices go back to the level of $60-$70 per barrel, the Middle-eastern countries will be tempted to revive the stalled projects. "That will spur demand for more foreign employment."
He said that the flow of remittances may slow down, but "it is difficult to predict whether it will decline or not." "It's a matter of time when it happens."
Last year, the country hauled nearly US$8.0 billion in remittances, boosted by a record 8.75 million overseas jobs.