Dhaka, May 18 -- Bangladesh is set to face another impact for its foreign exchange reserves as Malaysia -- a key destination for Bangladeshi workers -- announced it will no longer welcome Bangladeshi workers from June 1.

This job market closure follows similar closures in the United Arab Emirates and Oman.

Currently, more than 1.0 million Bangladeshi nationals, mostly unskilled labourers, reside in Malaysia. Their money transfers to home steadily increased from $1.02 billion in FY 2021-22 to $1.12 billion in FY 2022-23 and reaching $1.22 billion by April this year.

"The closure of an important market like Malaysia is now critical to Bangladesh's forex reserves. This is undoubtedly a bad news for the economy," said Professor Dr Muinul I...