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PROSPECTS OF MIGRANT WORKERSTO BECOME ENTREPRENEURS: A STUDY ON
SIX VILLAGES OF BANGLADESH
Sk Mashudur Rahman1
Shreekant Sharma2
ABSTRACT
In Bangladesh a significant number of people work asexpatriates in different countries. This paper accumulatessome of the basic information on the remittance earners todevelop a guideline for encouraging entrepreneurshipamong the remittance earner families. A sample size of 300respondents has been selected through purposive samplingtechnique among the six villages of Dhaka, Chittagong andSylhet divisions. The study finds that mostly young malemembers of the family with qualifications up to secondarylevel have migrated to other countries. The most preferreddestination includes Middle East countries followed byMalaysia and Maldives. Majority of them send about 1-3lac taka per year, which is mostly used for consumptionpurposes. Only 24 per cent of respondents spent theirremittances in productive investments though 48 per cent ofrespondents aspired to run businesses after returning home,for which it was suggested that government should conducttraining programmes to enhance their technical skills.
Keywords: Entrepreneurship, remittance, labour, and expatriate
Manpower Journal, Vol.LII, Nos.1&2, January-June 2018
1 Joint Director, Bangladesh Academy for Rural Development (BARD), Kotbari, Comilla,E-mail: [email protected] Associate Faculty Member, School of Entrepreneurship and Extension, National Institutefor Micro, Small and Medium Enterprises, Hyderabad, IndiaE-mail: [email protected]
7 8 Manpower Journal, Vol.LII, Nos.1&2, January-June 2018..............................................................................................................1. IntroductionBangladesh, meaning “Bengal nation,” is a low-lying country located on theBay of Bengal between Burma and India, and has a territory of nearly 57,000square miles (147,570 square kilometers). Bangladesh boasts of a populationof 158 million people, making the rather small country the seventh most populousin the world and one of the most densely populated countries. About 61 percent of the population of Bangladesh is of working age (15 to 64 years), while34 per cent is under the age of 14, indicating a moderate youth bulge.Those who are employed in the formal labour market often work just a fewhours a week at low wages. Thus, while the estimated unemployment rate isrelatively low at about 5 per cent, the problem of underemployment prevails.Widespread poverty, underemployment, and a youthful age structure have allcontributed to the predominance of economically motivated internationalmigration from Bangladesh. Sociologists have long analysed migration in termsof the “push-pull” model. This model differentiates between push factors thatdrive people to leave home, from pull factors that attract migrants to a newlocation. Push factors occur within sending states, that is, those that sendmigrants abroad, while pull factors occur within receiving states, that is, statesthat receive immigrants from sending states abroad. Since the 1980s,Bangladesh has been an increasingly important source country in internationalflows of contract labour migration. The primary destinations for Bangladeshimigrants have been the ArabGulf states, particularly members of the GulfCooperation Council (GCC). According to the official figures of the Bureau ofManpower, Employment, and Training (BMET) of the Government ofBangladesh, over 5 million Bangladeshis migrated to work in the GCC statesbetween 1976 and 2009, with Saudi Arabia and the United Arab Emiratesbeing the top country destinations.Workers’ remittances are major sources of foreign exchange inBangladesh, and it is among the top 20 countries receiving remittanceranging from US$ 2.8 billion to US$21.7 billion (IMF, 2005). Majority ofBangladeshi migrants are unskilled and come from rural areas and poorcommunities. The BMET has classified temporary migrant population intofour categories; professional, skilled, semi-skilled and unskilled. Labourersare classified as unskilled and Bangladesh is a huge labour abundantcountry. From 1976 to 2011, about 8 million people migrated temporarilyfrom Bangladesh. In 2010, the total amount of remittance was US$11,004.73 million and in the same year 3 million 90 thousand Bangladeshishave been employed overseas (Bangladesh Bank, 2011), which has beena remarkable contribution to employment and economy of the country.Therefore, it is a prime need to assess the prospect of remittance earnersas entrepreneurs as they normally return to their own country after stayingabroad for a certain period of time. Considering the importance ofremmitances in economic development of Bangladesh, the present studyexamines the impact of foreign earnings on various socio-economic facets
Prospects of Migrant Workers to become Entrepreneurs: A Study on Bangladesh 7 9..............................................................................................................of rural households. For the purpose of this study, a purposive sample of300 rural households was taken from six high remittance receivingdistricts.The paper is structured as follows. Section 2 presents the review of literaturefollowed by methodology of the study in Section 3. Section 4 presents analysesand results, and finally conclusions are presented in Section 5.2. Review of LiteratureAlthough there are many studies dealing with various issues such as trends,determinants and impacts of remittances in recipient countries (e.g., Turkey,India, Pakistan, Kenya, Jordan, Greece, Egypt, Philippines, Mexico), but onlya few studies are available in Bangladesh conducted by the BangladeshInstitute of Development Studies (BIDS), Bangladesh Unnayan Parisad(BUP), The Refugee and Migratory Movements Research Unit of DhakaUniversity. Siddiqui (2003) presents the trend and impacts of remittance inBangladesh, “Every year some 200,000 or more Bangladeshis leave thecountry officially to work elsewhere. In the last 29 years 3.8 million labourmigrants have been recorded. Add to this, more than 1 million Bangladeshliving permanently outside the country and the extent of emigration becomesapparent. Most of these migrants send part of their earnings at home on aregular/irregular basis”.Azad (2005) suggests using remittances for the development of micro-enterprises. Sarker (2007) focuses on structural changes of remittance inBangladesh. Nabi (2007) empirically examines the macroeconomicdeterminants of remittance inflows in Bangladesh. Sobahan and Hossain(2007) reveal that Bangladesh has potential to tap huge amount ofremittances. Ahmed and Das (2007) cite policy options to promote theremittance inflow of Bangladesh. Alam (2007) mentioned among the topremittance recipient countries, Bangladesh maintained a static position of13th from 1995 to 1997, and moved to 8th position from 1998 to 2002, attestingto the stability of remittance flows to Bangladesh as compared to globalflows. He also mentioned that remittance inflow position was very high andhence likely to be sustainable. The highly country-specific, job-specific andunskilled nature of labour migration showed a very risky scenario whichpointed to the danger of un-sustainability in remittance inflows. Any crisis inthese countries, especially in the Middle East region or in Saudi Arabia, wouldlead to reduced remittance balance for Bangladesh. This is also evident fromthe current global economic meltdown. According to the database of Bureauof Manpower, Employment and Training (BMET), some 38,568 peopleobtained jobs abroad in June, 2009, a downfall (24 per cent) from 50,632 ofJanuary, 2009 (Nabi and Alam, 2011).Remittance could have a significant and positive impact on economicgrowth through enhanced levels of investment. In the context of increasing
8 0 Manpower Journal, Vol.LII, Nos.1&2, January-June 2018..............................................................................................................returns (while there are backward and forward linkages in investmentactivities), an increase in investment of one household could increaseincomes of other households. Some studies (e.g. Stark and Levhari, 1982,Ahlburg, 1991) have shown that remittances have been primarily usedfor consumption followed by home construction, debt repayment andfinancing of future migration. According to this view, remittance hadraised levels of consumption without creating a firm basis for growth inthe domestic economy. Yang (2004) revealed that remittances could leadto improved schooling, reduced child labour, increased educationexpenditure, and higher investment. Other studies pointed out a positiverelationship between household investment and worker’s remittances indeveloping countries. For instance, Brown (1994) investigated therelationship between remittances, savings and investment in Tonga andSamoa, using a micro-level analysis of the use of remittances byhouseholds. It was found that remittances make a significant contributionto savings and investment in the Island economies. Luna-Martinez (2005)argued that, by establishing new savings and investment instruments forrecipient households, a large part of remittance flows could be channeledto productive investments, thus fostering economic growth. Ang (2007)investigated the relationship between remittances and economic growthat the national and regional levels in Philippines. He found that at thenational level the use of remittance varied from country to country; therecipients of remittances commonly used these for consumption, educationand investments (Carrasco and Ro, 2007).Above findings from different studies reveal that there is a positiverelationship between remittance and economic growth. Some studies assessedthe impact of the remittances for the improvement of schooling, reducingchild labour, increasing education expenditure and higher investment.Some studies also measured the micro and macro-economic determinants ofremittances. Moreover, some studies assessed the facts (exchange raterestrictions, blank market premium, hyperinflation, effect of home GrossDomestic Product) that discourage sending remittances in the formal sector.Therefore, it can be concluded that there are very few studies dealing withmajor sectors of remittance utilization. The present study concentrates onthe improvement of the socio-economic condition of remittance recipienthouseholds considering the issue of entrepreneurship development situation,utilization and potential of remittance uses.3. Methodology of StudyThe primary data from the remittance recipient households were collectedfrom 300 respondents. The study selected six comparatively high remittancereceiving districts in the south-east Bangladesh (6th Five Year Plan, 2010).From these districts six high remittance receiving Upazilas were identified,i.e. one from each district. Further, from each Upazila a Union was selected
Prospects of Migrant Workers to become Entrepreneurs: A Study on Bangladesh 8 1..............................................................................................................based on the remittance receiving figures. Finally, six villages were identifiedunder “Comprehensive Village Development Programme” (CVDP) ofBangladesh Academy for Rural Development (BARD) for conducting thestudy. The villages were selected due to their relatively easy access to theresearch team. The six districts were Narayanganj, Comilla, Nowakhali,Cox’s Bazar, Mowlobibazar, Hobigong covering three divisions. The selectedUpazila, Union, Villages along with the number of respondents are mentionedin Table 1.Table 1: Location of Respondents (Remittance receiving Households)
Division District Upazila Union Village TotalRespon-dentsDhaka Munshiganj Sirajdikhan Basail Char 50BishonathNarayanganj Sonargaon Pirojpur Kandergaon 50Chittagong Cox’s Bazar Chokoria Khutakhali Bakkumpara 50Nowakhali Begumgonj Mirowarishpur Lalpur 50Comilla Burichang Sholonal Soigoria 50Sylhet Hobigonj Madhobpur Cowmohni Horinkhola 50Total 300Source: authors’ surveyFifty remittance recipient households from each village of each district wereinterviewed using purposive sampling method. Thus, in total, the studycovered 300 remittance recipient households.
4. Findings of the Study
4.1 Socio-economic condition of remittance earners
4.1.1 Gender and Age Composition of Remittance EarnersGender is an important indicator for remittance earning process. Due topatriarchal Muslim ideology most of the Bangladeshis believe that malemember of the family should go out for earning. Sex composition ofexpatriates is mentioned in Table 2.It is understood from the Table 2 that there are 341 male expatriatesfrom the 300 households surveyed. During the field survey no femaleexpatriate was found in that area though few women were taking part inearning remittance. The mentionable aspect in the above table is that out
8 2 Manpower Journal, Vol.LII, Nos.1&2, January-June 2018..............................................................................................................Table 2: Sex Composition of Remittance Earners
Dhaka Chittagong Sylhet
No % No % No % No % No % No %Male 55 100.0 56 100.0 52 100.0 59 100.0 63 100.0 56 100.0 341 100.0Female 0 0.0 0 0.0 0 0.0 0 0.0 0 0.0 0 0.0 0 0.0Total 55 100.0 56 100.0 52 100.0 59 100.0 63 100.0 56 100.0 341 100.0Source: Field Survey
Cha
rB
isho
nath
Kan
derg
aon
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umpa
ra
Lalp
ur
Soig
oria
Hor
inkh
ola
Gra
nd T
otal
Tota
l %
of 341 expatriates, 63 were from Soigoria of Comilla district underChittagong Division.Age structure of the remittance earners is also important in estimatingthe potential productive human resources (Figure 1). The figure showsthat majority (26.69 per cent) of remittance earners are young people (26-30 years) having potential of doing any type of hard work. According toNational Youth Policy 2002 of Bangladesh, a significant number of familymembers i.e. one-fourth of the total family members are youth. 18.77 percent respondents belong to the age group of 31 to 35 years and 17.01 perFigure 1: Age Composition of Sample Remittance Earners (in %)
Source: Field Survey
Gen
der
Prospects of Migrant Workers to become Entrepreneurs: A Study on Bangladesh 8 3..............................................................................................................cent belong to the age group of 36 to 40 years. 16.72 per cent remittanceearners are 21 to 25 years of age. 3.52 per cent remittance earners arebelow 20 years of age and 2.93 per cent remittance earners are from 51 to55 years of age group, these people have limited capability to earn more.But the longevity rate among the remittance earners is very poor and it isonly 0.88 per cent.4.1.2 Education and Destination CountriesEducation affects almost all aspects of human life. Different studieshave revealed that educational attainment particularly of expatriates hassignificant impact on socio-economic improvement. Education in its generalsense is a form of learning in which the knowledge, skills and habits of agroup of people are transferred from one generation to the next generationthrough teaching, training or research. Formal education means systemsof schooling involving institutionalized teaching and learning in relation to acurriculum, which itself is established according to a predetermined purposeof schools in the system. Necessary data regarding formal education ofthe respondents were collected to highlight the educational status of theexpatriates.Table 3 highlights that nearly 2.93 per cent expatriates were never enrolledin school. Literacy status plays a vital role in an efficient participation andoperational skill in technical activities of the expatriates. Education ofexpatriates helps to better access the relevant technical information and tomake rational economic decisions. It reveals that out of total respondents 2.35per cent have sign knowledge. Only 4.11 per cent people completed their HigherSecondary education. 26.10 per cent have primary education and 63.93 percent have secondary education. People with S.S.C and above education areonly 4.11 per cent. It is worth mentioning that only one expatriate had a diplomaand one BA/B.com/B.Sc. in Horinkhola of Sylhet and Char Bishonath ofDhaka division respectively.From Bangladesh people go to many countries of the world and theMiddle East countries are the priority market for Bangladeshi manpower.Table 4 shows that Saudi Arabia, Dubai, United Arab-Emirates, Qatar,Dubai, Oman, Kuwait are the big markets for Bangladeshi manpower andthe rate is highest in Saudi Arabia that is 27.27 per cent followed by Dubai(17.60). About 14.66 per cent respondents are in Malaysia as it is a countryof growing economy. 12.02 per cent expatriates are staying in Maldives asit is neighbouring country and is easy to access. Singapore is also a countryof growing economy that imports manpower as about 2.35 per centrespondents stay in Singapore. There is also a manpower market is SouthAfrica and the rate is 1.47 per cent.The expatriates engage themselves in many works for earning money.In different countries they do different types of works for their livelihood as
8 4 Manpower Journal, Vol.LII, Nos.1&2, January-June 2018
..............................................................................................................
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Prospects of Migrant Workers to become Entrepreneurs: A Study on Bangladesh 8 5
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8 6 Manpower Journal, Vol.LII, Nos.1&2, January-June 2018
..............................................................................................................well as the betterment of their family who are in Bangladesh. Table 5 showsthat highest per cent of workers are working in hotels (10.35 per cent)followed by 9.18 per cent expatriates working in shops and 8.94 per cent aspainting workers. Other common jobs were of mason, plumber, electrician,driver, carpenter, labourer, among others. Only one expatriate is found as apeace mission worker in this study. All villages have a similar type of villagecommunity based organisation named Comprehensive Village DevelopmentProgramme (CVDP) - 2nd phase. This programme provides short term (21days) electrical, plumbing and pipe fitting training to the rural youth, who areeconomically poor members of the village. Besides, CVDP has small trainingcourse on agriculture development, poultry, fishery, livestock, and accounts
Table 5: Type of Work of Remittance Earners
Type of work Number Percentage (%)Shop Worker 39 9.18Plumbing Worker 27 6.35Workshop Worker 32 7.53Park/Resort Worker 14 3.29Mason 37 8.71Electric Worker 29 6.82Painting Worker 38 8.94Official Job 18 4.24Hotel Worker 44 10.35Cleaner 22 5.18Peace Mission Worker 1 0.24Business 11 2.59Laborer 21 4.94Security Worker 8 1.88Patrol Pump Worker 9 2.12Driver 19 4.47Agriculture Labourer 5 1.18Fishing 6 1.41Wood Carpenter 16 3.76Tailoring 12 2.82Gardener 6 1.41Holding Worker 11 2.59Total 425 100.00
Note: Respondents were found to be engaged in more than one work.Source: Field Survey
Prospects of Migrant Workers to become Entrepreneurs: A Study on Bangladesh 8 7
..............................................................................................................keeping and leadership management. CVDP also introduces Nation BuildingDepartments (NBDs) to the villagers for providing services and networking.These efforts directly and indirectly help rural people to build up confidenceto take initiative for income generation, both at home and abroad. In thisregard, CVDP organises 21 days’ technical training at Technical TrainingCentre (TTC) of the Government. However, the training courses were lessas compared to huge demand due to financial constraints. The villagers wantmore skill training and smooth immigration procedures for remittance earning.
Table 6 shows that 40.45 per cent of expatriates sent 1 to 2 lac taka in ayear and 28.98 per cent of expatriates sent 2 to 3 lac taka per year. In thecase of comparatively new expatriates they sent below one lac taka.Around 21.98 per cent expatriates sent 3 to 7 lac taka in a year. Only 1.27per cent respondents sent 7+ lac taka per year, they were found to be thedwellers of Chittagong and Sylhet divisions.
4.2 Remittance Uses of receiving HouseholdsThe expatriates send money to the family members in the native land andthrough this money they try to improve the position as well as the socio-economic condition of the family. The family members do not use this moneyfor a single purpose, but for multiple purposes. The remitted money is alsoused as an investment thus contributing to further development of the country.They use remittance for consuming various durables and assets, investing,savings and others. This section describes the different uses of remittancein the study area.
4.2.1 Consuming various Durables/Assets/OtherThe money received by the family members from the expatriates is used forvarious purposes. The family members consume the money for increasingtheir standard of living and purchasing many modern things that were notwith them before.
Table 7 indicates that remittance receiving households have given toppriority to the purchase of mobiles, coat, enriched food, well or costly dress,high quality home appliance, electronic goods like television, refrigerator etc.They have also spent on recreation and hygiene. It is pertinent to mentionhere that 11.14 per cent households are now using a water filter for waterpurification. Some households (15.54 per cent) have given priority toconstruction of building.
4.2.2 Investment SectorsMost of the remittance recipient households use the money for consumingdaily commodities. Nonetheless, investment of remittances in productivesectors is also happening in Bangladesh but the rate of investment is ratherlow. There is a need to enhance the investment rate of remittance in future
8 8 Manpower Journal, Vol.LII, Nos.1&2, January-June 2018
..............................................................................................................
Ta
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01
2.0
81
1.6
43
5.0
86
1.9
1
6 t
o 7
00.0
00
0.0
00
0.0
00
0.0
00
0.0
03
5.0
83
0.9
6
7 +
12.0
40
0.0
00
0.0
00
0.0
02
3.2
81
1.6
94
1.2
7
To
tal
49100.0
054
100.0
043
100.0
048
100.0
061
100.0
059
100.0
0314
100.0
0
So
urc
e:
Fie
ld S
urv
ey
Prospects of Migrant Workers to become Entrepreneurs: A Study on Bangladesh 8 9
..............................................................................................................
Ta
ble
7:
Co
nsu
mp
tio
n a
t P
rese
nt
Fa
cil
itie
sD
hak
aC
hit
tag
on
gS
ylh
et
Gra
nd
Tota
l
Ch
ar
Kan
der
gaon
Bak
ku
mp
ara
Lalp
ur
So
igo
ria
Hori
nk
hola
Tota
l%
Bis
ho
na
th
No.
%N
o.
%N
o.
%N
o.
%N
o.
%N
o.
%
Rad
io6
10.9
13
5.3
60
0.0
00
0.0
00
0.0
00
0.0
09
2.6
4
Tele
vis
ion
3869.0
948
85.7
18
15.3
829
49.1
539
61.9
026
46.4
3188
55.1
3
Tele
ph
on
e2
3.6
41
1.7
91
1.9
20
0.0
01
1.5
90
0.0
05
1.4
7
Mo
bil
e47
85.4
550
89.2
949
94.2
346
77.9
750
79.3
750
89.2
9292
85.6
3
Refr
igera
tor
4174.5
538
67.8
65
9.6
225
42.3
733
52.3
88
14.2
9150
43.9
9
Ov
en
47.2
70
0.0
01
1.9
20
0.0
02
3.1
70
0.0
07
2.0
5
So
lar
Pan
el
11.8
20
0.0
00
0.0
00
0.0
00
0.0
07
12.5
08
2.3
5
Co
mp
ute
r1
1.8
20
0.0
00
0.0
01
1.6
92
3.1
70
0.0
04
1.1
7
Lap
top
00.0
01
1.7
91
1.9
21
1.6
92
3.1
70
0.0
05
1.4
7
Inst
an
t0
0.0
00
0.0
00
0.0
01
1.6
90
0.0
00
0.0
01
0.2
9
Pow
er
Su
pp
ly (
IPS
)
Bu
ild
ing
1323.6
411
19.6
41
1.9
27
11.8
610
15.8
711
19.6
453
15.5
4
DV
D15
27.2
716
28.5
70
0.0
00
0.0
03
4.7
60
0.0
034
9.9
7
(co
ntd
.)
9 0 Manpower Journal, Vol.LII, Nos.1&2, January-June 2018
..............................................................................................................
Wate
r F
ilte
r11
20.0
014
25.0
01
1.9
25
8.4
77
11.1
10
0.0
038
11.1
4
Co
at
4683.6
450
89.2
947
90.3
848
81.3
650
79.3
750
89.2
9291
85.3
4
Alm
ira
4683.6
449
87.5
041
78.8
541
69.4
949
77.7
846
82.1
4272
79.7
7
Ward
rob
e32
58.1
825
44.6
48
15.3
814
23.7
336
57.1
430
53.5
7145
42.5
2
So
fa24
43.6
433
58.9
310
19.2
311
18.6
440
63.4
920
35.7
1138
40.4
7
Sew
ing
1120.0
018
32.1
416
30.7
73
5.0
822
34.9
227
48.2
197
28.4
5
mac
hin
e
Pro
per
Fo
od
4683.6
449
87.5
042
80.7
746
77.9
750
79.3
748
85.7
1281
82.4
0
Bic
ycl
e6
10.9
10
0.0
00
0.0
02
3.3
90
0.0
00
0.0
08
2.3
5
Mo
tor
Bik
e0
0.0
00
0.0
00
0.0
00
0.0
01
1.5
91
1.7
92
0.5
9
l D
ress
/40
72.7
348
85.7
141
78.8
543
72.8
850
79.3
748
85.7
1270
79.1
8
Clo
thin
g
Sh
ow
case
/9
16.3
68
14.2
97
13.4
68
13.5
60
0.0
01
1.7
933
9.6
8
Chai
r
So
urc
e:
Fie
ld S
urv
ey
(Tab
le7
co
ntd
.)
Prospects of Migrant Workers to become Entrepreneurs: A Study on Bangladesh 9 1
..............................................................................................................which would help the overall investment in the country to grow. Figure 2shows that only 24 per cent respondents invest their remittance in theproductive sectors, while 76 per cent respondents do not invest the money inany productive sector except family affairs.
Figure 2: Investment Status of Remittances
Source: Field Survey
Every year Bangladesh gets huge amount of remittance which is mainlyused for consumption. Only a small amount of this remittance is invested inproductive sectors. Table 8 indicates the real scenario of investment ofremittance. The table shows that 65.40 per cent respondents do not investremittance for productive purpose and the rate of investment for productivepurposes is highest in Bakkumpara in Chittagong division. The investment ofremittance is found to be highest for rural land purchasing (11.73 per cent)among households of Soigoria in Sylhet division. Other than land purchasing,5.28 per cent respondents invest the remittance in constructing and repairinghouse and renting lands. Another 5.57 per cent respondents use remittancefor petty business, cultivating fish, purchasing city land and cattle etc.4.2.3 Area of SavingsThe benefits of saving money are not unknown to the people of Bangladesh.People save money for security. The family members of the expatriates alsosave money from remittance though the saving is not very high. The amountof remittance received is increasing every year in the country. Figure 3indicates that 57 per cent respondents saved money from remittances lastyear.
People who are desirous of saving money can use different instrumentsfor savings. Bangladesh also offers various possibilities for saving money.Table 9 shows that majority of households (44.33 per cent) save money byDPS and the rate is highest in Kandergaon in Dhaka division. The table also
9 2 Manpower Journal, Vol.LII, Nos.1&2, January-June 2018
..............................................................................................................
Ta
ble
8:
Inv
est
men
t S
ecto
rs
Pu
rch
ase
or
Dh
ak
aC
hit
tag
on
gS
ylh
et
Gra
nd
Tota
l
Inves
tmen
tT
ota
l%
Are
a
Ch
ar
Kan
der
gaon
Bak
ku
mp
ara
Lalp
ur
So
igo
ria
Hori
nk
hola
Bis
ho
na
th
No.
%N
o.
%N
o.
%N
o.
%N
o.
%N
o.
%
No
t A
pp
licab
le40
72.7
334
60.7
140
76.9
241
69.4
933
52.3
835
62.5
0223
65.4
0
Pett
y B
usi
ness
23.6
40
0.0
00
0.0
01
1.6
90
0.0
00
0.0
03
0.8
8
DP
S P
urc
hase
00.0
00
0.0
00
0.0
01
1.6
90
0.0
00
0.0
01
0.2
9
Cit
y L
an
d1
1.8
20
0.0
04
7.6
90
0.0
01
1.5
90
0.0
06
1.7
6
Ru
ral L
an
d4
7.2
711
19.6
41
1.9
22
3.3
912
19.0
510
17.8
640
11.7
3
Catt
le3
5.4
54
7.1
40
0.0
01
1.6
90
0.0
00
0.0
08
2.3
5
Fis
h0
0.0
00
0.0
00
0.0
00
0.0
00
0.0
01
1.7
91
0.2
9
Cu
ltiv
ati
on
Oth
ers
00.0
01
1.7
95
9.6
24
6.7
84
6.3
54
7.1
418
5.2
8
To
tal
5090.9
150
89.2
950
96.1
550
84.7
550
79.3
750
89.2
9300
87.9
8
No
te:
Oth
ers
incl
ud
e co
nst
ruct
ion
an
d r
epai
r o
f h
ou
se, re
nt
(lan
d);
DP
S m
ean
s P
rem
ium
Sch
eme.
So
urc
e: F
ield
Su
rvey
Prospects of Migrant Workers to become Entrepreneurs: A Study on Bangladesh 9 3
..............................................................................................................Figure 3: Saving from Remittances (%)
Source: Field Survey
shows that about 27 per cent respondents save their money throughco-operative savings and 8.67 per cent use fixed deposit schemes of banks.Around 6.0 per cent respondents save their money through insurance whichhas gained popularity in recent years in local areas of the country.
4.2.4 Other Expenditure from RemittancesBesides assets, savings and investments, the family members of theexpatriates use the money for other purposes such as paying tuition fees,buying clothes, food, paying loan etc.
People in Bangladesh use remittance in many ways. Most of them usethe remittance for purchasing food and buying clothes. Table 10 shows that24.45 per cent respondents of the study area use remittance for foodexpenditure and for purchasing clothes. 15 per cent respondents use themoney for paying tuition fees and 14.75 per cent use it for medical treatment.
4.2.5 After-Return PlanningPeople migrate to other country for earning more money and for living acomfortable life. But no one wants to stay there for entire life as is reflected inTable 11, which shows what the respondents plan to do after returning home.The table shows that maximum number of remit tance earners(48.36 per cent) plan to run a business on returning from abroad followedby 30.02 per cent respondents who want to engage in agriculture and11.66 per cent respondents want to own a shop. 3.44 per cent respondentswant to be contractors, 1.53 per cent wants to do service and 0.57 per centwish to do CNG driving. About 4.40 per cent respondents will take decisionafter coming back.
9 4 Manpower Journal, Vol.LII, Nos.1&2, January-June 2018
..............................................................................................................
Ta
ble
9:
Ty
pes
of
Sa
vin
gs
Typ
eD
hak
aC
hit
tag
on
gS
ylh
et
Gra
nd
Tota
l
Ch
ar
Kan
der
gaon
Bak
ku
mp
ara
Lalp
ur
So
igo
ria
Hori
nk
hola
Tota
l%
Bis
ho
na
th
No.
%N
o.
%N
o.
%N
o.
%N
o.
%N
o.
%
Bu
y B
on
d3
5.0
00
0.0
00
0.0
00
0.0
00
0.0
00
0.0
03
0.9
6
Insu
ran
ce
1220.0
00
0.0
00
0.0
00
0.0
03
5.8
83
4.9
218
6.0
0
DP
S27
45.0
029
44.6
213
52.0
020
40.0
018
35.2
926
42.6
2133
44.3
3
Mo
nth
ly1
1.6
70
0.0
00
0.0
06
12.0
01
1.9
61
1.6
49
3.0
0
Ban
k S
av
ing
s
Fix
ed
Dep
osi
t0
0.0
011
16.9
20
0.0
01
2.0
09
17.6
55
8.2
026
8.6
7
in B
ank
Co
op
era
tiv
e1
1.6
725
38.4
611
44.0
04
8.0
020
39.2
220
32.7
981
27.0
0
Sav
ing
s
No
nin
sti-
1 1
.67
00.0
00
0.0
00
0.0
00
0.0
05
8.2
06
2.0
0
tuti
on
al
Pers
on
al
610.0
00
0.0
01
4.0
00
0.0
00
0.0
01
1.6
48
2.6
7
Sav
ing
s
CV
DP
915.0
00
0.0
00
0.0
019
38.0
00
0.0
0
0.0
0
To
tal
60100.0
065
100.0
025
100.0
050
100.0
051
100.0
061
100.0
0312
100.0
0
So
urc
e: F
ield
Su
rvey
Prospects of Migrant Workers to become Entrepreneurs: A Study on Bangladesh 9 5
..............................................................................................................
Ta
ble
10
: It
em
-wis
e R
em
itta
nce U
se
Typ
eD
hak
aC
hit
tag
on
gS
ylh
et
Gra
nd
Tota
l
Ch
ar
Kan
der
gaon
Bak
ku
mp
ara
Lalp
ur
So
igo
ria
Hori
nk
hola
Tota
l%
Bis
ho
na
th
No.
%N
o.
%N
o.
%N
o.
%N
o.
%N
o.
%
Tu
itio
n F
ee
2111.2
337
17.2
138
19.0
031
15.4
226
12.6
231
14.2
2184
15.0
0
Fo
od
5026.7
450
23.2
650
25.0
050
24.8
850
24.2
750
22.9
4300
24.4
5
Ex
pen
dit
ure
Bu
yin
g C
loth
5026.7
450
23.2
650
25.0
050
24.8
850
24.2
750
22.9
4300
24.4
5
Giv
ing
DP
S11
5.8
87
3.2
62
1.0
04
1.9
97
3.4
04
1.8
335
2.8
5
Ho
use
42.1
43
1.4
011
5.5
06
2.9
93
1.4
64
1.8
331
2.5
3
Rep
air
ing
TV
Pu
rch
ase
52.6
710
4.6
52
1.0
07
3.4
811
5.3
413
5.9
648
3.9
1
Refr
igera
tor
63.2
114
6.5
12
1.0
08
3.9
89
4.3
711
5.0
550
4.0
7
Tre
atm
en
t37
19.7
928
13.0
223
11.5
026
12.9
430
14.5
637
16.9
7181
14.7
5
Pay
ing
Lo
an
31.6
015
6.9
822
11.0
019
9.4
520
9.7
118
8.2
697
7.9
1
Giv
ing
00.0
01
0.4
70
0.0
00
0.0
00
0.0
00
0.0
01
0.0
8
Rela
tiv
es
To
tal
187
100.0
0215
100.0
0200
100.0
0201
100.0
0206
100.0
0218
100.0
01227
100.0
0
So
urc
e:
Fie
ld S
urv
ey
9 6 Manpower Journal, Vol.LII, Nos.1&2, January-June 2018
..............................................................................................................
Ta
ble
11
: P
lan
s a
fter
Retu
rn
ing
Area
of
Dh
ak
aC
hit
tag
on
gS
ylh
et
Gra
nd
Tota
l
Exp
end
itu
re*
Tota
l%
Ch
ar
Kan
der
gaon
Bak
ku
mp
ara
Lalp
ur
So
igo
ria
Hori
nk
hola
Bis
ho
na
th
No.
%N
o.
%N
o.
%N
o.
%N
o.
%N
o.
%
Bu
sin
ess
3768.5
250
44.2
542
48.2
832
54.2
450
44.6
442
42.8
6253
48.3
7
Serv
ice
11.8
50
0.0
06
6.9
00
0.0
01
0.8
90
0.0
08
1.5
3
Ag
ricu
ltu
re3
5.5
639
34.5
123
26.4
45
8.4
745
40.1
842
42.8
6157
30.0
2
Co
ntr
acto
r0
0.0
01
0.8
89
10.3
40
0.0
08
7.1
40
0.0
018
3.4
4
Sh
op
Ow
ner
712.9
623
20.3
57
8.0
58
13.5
68
7.1
48
8.1
661
11.6
6
Decis
ion
47.4
10
0.0
00
0.0
013
22.0
30
0.0
06
6.1
223
4.4
0
aft
er
Co
min
g
CN
G D
rivin
g2
3.7
00
0.0
00
0.0
01
1.6
90
0.0
00
0.0
03
0.5
7
To
tal
54100.0
0113
100.0
087
100.0
059
100.0
0112
100.0
098
100.0
0523
100.0
0
*O
ne
resp
on
den
t p
rov
ides
mo
re t
han
on
e an
swer
.
So
urc
e: F
ield
Su
rvey
Prospects of Migrant Workers to become Entrepreneurs: A Study on Bangladesh 9 7
..............................................................................................................
Ta
ble
12
: R
eq
uir
ed
In
stit
uti
on
al S
up
po
rt
for
Bett
er
Rem
itta
nce U
se
Su
pp
ort
Dh
ak
aC
hit
tag
on
gS
ylh
et
Gra
nd
To
tal
Ch
ar
Ka
nd
erg
ao
nB
ak
ku
mp
ara
La
lpu
rS
oig
oria
Ho
rin
kh
ola
To
tal
%
Bis
ho
na
th
No
.%
No
.%
No
.%
No
.%
No
.%
No
.%
En
han
cin
g6
9.8
41
32
0.6
31
11
7.1
99
24
.32
11
19
.64
71
6.6
75
71
8.1
0
Tech
nic
al
Kn
ow
led
ge
Need
Tra
inin
g a
bo
ut
81
5.0
97
11
.11
15
23
.44
71
8.9
28
9.4
14
9.5
24
91
5.5
6
Ag
ricu
ltu
ral
Meth
od
Do
n�t
kn
ow
61
1.3
22
64
1.2
71
82
8.1
36
16
.22
12
14
.12
10
23
.81
78
24
.76
No
t N
ecess
ary
11
20
.75
69
.52
46
.25
38
.11
78
.24
37
.14
34
10
.79
Need
Lo
an
00
.00
00
.00
23
.13
00
.00
33
.53
49
.52
92
.86
Tra
inin
g o
n S
alt
00
.00
00
.00
69
.38
00
.00
00
.00
00
.00
61
.90
Cu
ltiv
ati
on
Tra
inin
g f
or
81
5.0
96
9.5
20
0.0
00
0.0
04
4.7
15
11
.90
23
7.3
0
Catt
le R
eari
ng
Fis
hery
Tra
inin
g7
13
.21
34
.76
34
.69
00
.00
33
.53
37
.14
19
6.0
3
Bu
sin
ess
rela
ted
47
.55
00
.00
00
.00
00
.00
00
.00
00
.00
41
.27
Tra
inin
g
Dri
vin
g T
rain
ing
35
.66
23
.17
57
.81
71
8.9
23
3.5
32
4.7
62
26
.98
Po
ult
ry R
eari
ng
00
.00
00
.00
00
.00
51
3.5
15
5.8
84
9.5
21
44
.44
Tra
inin
g
To
tal
53
10
0.0
06
31
00
.00
64
10
0.0
03
71
00
.00
56
65
.88
42
10
0.0
03
15
10
0.0
0
Fie
ld S
urv
ey
9 8 Manpower Journal, Vol.LII, Nos.1&2, January-June 2018
..............................................................................................................4.2.6 Views of Expatriates on Institutional SupportThe expatriates earn money in different countries in the world and send theirearnings as remittance. The family members of the expatriates use the moneymeeting their needs in their own way. Table 12 presents the views/suggestionsof the respondents towards institutional support for better use of theremittances.
To invest more money in the productive sectors the expatriates needinstitutional support. About 24.76 per cent respondents had no knowledgeabout the type of support needed by them (Table 12). Only 18.10 per centrespondents opined that they need support from the government to enhancetheir technical skill and 15.76 per cent viewed that they need training onagricultural practices. The remaining 41.38 per cent respondents expressedthe need for various types of production related trainings.5. ConclusionThe study concentrates on the improvement of the socio-economic conditionof remittance recipient households considering the issue of entrepreneurshipdevelopment situation, utilisation and potential of remittance uses.From Bangladesh most of the male youth workforce goes to work in SaudiArabia, Dubai, United Arab-Emirates, Qatar, Oman, Kuwait followed byMalaysia, Maldives, Singapore and South Africa. They mostly work inconstruction, hotels and shops. Around 64 per cent of the studied expatriateshad secondary level education. Training provided under ComprehensiveVillage Development Programme proved to be beneficial in building therequired skills to take up jobs at home and abroad. About 40 per cent and 29per cent of the expatriates earned 1 to 2 lac taka and 2 to 3 lac taka annually.The incomes were used mostly for consumptions, only 15.54 per centhouseholds invested in the construction of building and only 24 per cent ofthe respondents invested money in productive sectors. Almost all therespondents wanted to come back to their homes and start someentrepreneurial activity for which the respondents desired to have training.To invest more money in the productive sectors, the expatriates need moreinstitutional support and capacity building in the productive sectors.
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