Bangladesh Bank (BB) has relaxed the outward remittance rules for foreigners working in Bangladesh economic zones (EZs), export processing zones (EPZs) and hi-tech parks (HTPs).
According to the decision of the central bank, expatriate employees will henceforth be able to transfer up to 75 per cent of their net monthly income by converting taka into equivalent foreign currency to FC (foreign currency) accounts maintained and operated in compliance with the Guidelines for Foreign Exchange Transactions (GFET) of Bangladesh Bank.
The GFET currently permits foreign nationals working in Bangladesh with valid work permits to make monthly remittances up to 75 per cent of their net income to cover their commitments abroad.
Under the same guidelines, enterprises operating in EZs, EPZs, HTPs and exporter-employers having exporter retention quota (ERQ) accounts are allowed to transfer from their admissible FC accounts up to 75 per cent of the net monthly income of the expatriate employees in equivalent foreign currency to facilitate payment of their salary and benefits.
"The Authorized Dealers (ADs) designated banks will do this at the request of their clients," said Bangladesh Bank's Foreign Exchange Policy Department (FEPD) in a circular.
"The ADs shall, however, ensure balances held in FC account of eligible employers are utilised first before use of Taka fund," it added.
The ADs shall observe strictly the instructions of Bangladesh Bank including verification of the authenticity of the work permits issued by the competent authorities, said the BB circular.
"Bangladesh Bank has taken this decision for the benefits of the foreigner working in the country. Now the foreign workers will be able to send a fair chunk of their monthly income," said BB's chief spokesperson Sirajul Islam.
He said a large number of foreigners have been working in Bangladesh economic zones (EZs), Bangladesh Export processing zones (EPZs) and hi-tech parks (HTPs). After this decision of the central bank, skilled foreign workers will display further keen interests to work in companies located in BEZs, EPZs and HTPs, he added.
