Bangladeshi migrants lost an estimated $2.46 billion in 2022 to fraudulent “free visa” recruitment practices in Gulf Cooperation Council (GCC) countries, according to a new study by the Ovibashi Karmi Unnayan Program (OKUP).
The losses, equivalent to 0.54 percent of Bangladesh’s GDP that year, stemmed from inflated recruitment fees, post-arrival extortion and hidden costs faced by migrants who traveled under “free visa” arrangements, the study found. The money was effectively siphoned off to destination countries, reflecting costs inflated by three to six times the official migration rates.
The report, titled “A Critical Assessment of Remittance Drain: Unveiling the Macroeconomic Consequences of Bangladesh’s ‘Free Visa’ Migration,” was unveiled Saturday at a hotel in Dhaka. Researchers surveyed 1,084 migrants from eight migration-prone districts between late 2023 and mid-2024.
Among respondents, 51 percent migrated to GCC countries through “free visa” channels. Of these, 57 percent later obtained official work permits without additional payments, while 21 percent paid an average of $1,223 to secure their permits. Another 4 percent paid about $361 to find jobs, and a similar portion spent $402 on return flights after job failures. All faced pre-employment living costs averaging $246 before receiving their first salary.
In total, OKUP estimated $2.46 billion in extra costs borne by Bangladeshi workers in GCC countries in 2022, equal to more than half a percent of the national economy.
OKUP Chairperson Shakirul Islam said the findings reveal not only individual hardships but a broader capital drain. The study identified three key consequences: lost national investment, eroded remittance capacity, and unrecorded capital flight that weakens financial integrity.
According to the Bureau of Manpower, Employment and Training (BMET), about 1.135 million Bangladeshis went abroad in 2022, with 938,000 migrating to GCC countries.
Neyamot Ullah Bhuiyan, senior secretary of the Ministry of Expatriates’ Welfare and Overseas Employment, said the report’s findings could guide reforms in the migration sector. He noted that 54 percent of recruitment occurred through illegal sub-agents and called for a more transparent and accountable system.