Abstract

Abstract

This study analyzes household remittance utilization and its socio-economic impact in Cumilla district, Bangladesh, focusing on factors affecting remittance inflows. Results indicate that migration increases household spending on food, education, and clothing, yet investment growth lags behind. Investment is found mainly in agriculture, livestock, and business, but limited knowledge (55.83%), lack of investment opportunities (22.5%), and low motivation (21.67%) hinder further investment. Only 24% of remittance receiving households are attempting new businesses. Additionally, 65% of expatriates engage in informal remittance channels. Analysis shows positive influences on remittance inflows from household size (0.404), monthly income (0.558), and years abroad (0.191), while technical training (-0.321) does not enhance inflows. The study suggests government intervention to raise awareness of remittance spending and investing, and to encourage the use of legal remittance channels. Initiatives in agriculture, trade, and local industries, such as “khadi” textiles, as well as tax relief for new businesses, are recommended to boost effective utilization.