Regulatory Alerts2023-09-19
Added
FEPD Circular Letter No. 11: Inward wage remittances by licensed Payment Service Providers (PSPs)
Licensed Payment Service Providers (PSPs) in Bangladesh are authorized to repatriate wage earners’ remittances in association with approved foreign PSPs, including online payment gateway service providers, banks, digital wallets, card schemes, or aggregators. PSPs must establish standing arrangements with foreign PSPs to receive foreign currency, which is credited as equivalent Taka value to wage earners’ accounts, while foreign PSPs credit the designated Authorized Dealer’s nostro account. Entities wishing to provide these services must submit applications with details of their proposed arrangements to the Foreign Exchange Policy Department at Bangladesh Bank head office by December 31, 2023. Permissions are granted primarily for piloting the initiative, and all other instructions from FE Circular No. 34 of November 29, 2022 applicable to MFSPs remain unchanged for PSPs.