RegAlertRule · BB · 10 Sep 2020
FEPD Circular Letter No. 31: Clarification on Cash Incentive for Remittances Sent Through Legal Channels
The Bangladesh Bank clarifies that the cash incentive for remittances sent through legal channels by eligible workers is effective from July 1, 2019. This directive applies to Bangladeshi nationals working in foreign offices of shipping/airline companies, foreign shipping/airline companies, and foreign missions or international organizations, excluding government-owned entities. The circular instructs scheduled banks to provide a 2% cash incentive on such remittances and to inform all concerned parties of this effective date to eliminate confusion.
Chief Executive/Managing Directors
All Scheduled Banks operating in Bangladesh.
Dear Sirs,
Reference is drawn to FEPD Circular Letter No. 08 dated March 11, 2020, regarding the subject cited above.
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Through the aforementioned circular letter, instructions were issued to ensure the immediate implementation of the provision regarding eligibility for cash assistance on such funds, where Bangladeshi nationals employed at foreign offices of Bangladeshi-owned shipping/airline companies (excluding establishments owned by the Government of Bangladesh or state-owned entities), Bangladeshi mariners/aircraft pilots employed in foreign shipping lines/airlines, and Bangladeshi employees working in various countries of the world at United Nations or other organizations/institutions and foreign missions (excluding establishments owned by the Government of Bangladesh or state-owned entities) send money to the country through authorized and legal channels while residing abroad.
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However, it has recently been observed that some banks are considering remittances from July 1, 2019, as per the instruction in the aforementioned circular letter, while other banks are considering remittances from the date of the circular and providing a 2% cash assistance to customers. This is causing confusion among customers. Therefore, the instructions mentioned in serial number "3" of FEPD Circular Letter No. 08 dated 11/03/2020 are clarified below:
"These instructions will be effective from July 1, 2019, and all concerned parties are requested to be informed about this matter."
- In this regard, other instructions remain unchanged.
Yours faithfully,
(Mohammad Khurshid Wahab)
General Manager
Phone: 9530123
Foreign Exchange Policy Department
Bangladesh Bank
Head Office
Dhaka.
FEPD Circular Letter No. 31
Date: 26 Bhadra 1427
10 September 2020
Subject: Regarding the provision of cash assistance against remittances sent through legal channels.
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- Refers to
“Chief Executive/Managing Directors All Scheduled Banks operating in Bangladesh. Dear Sirs, Reference is drawn to FEPD Circular Letter No. 08 dated March 11, 2020, regarding the subject cited above. 0”
- Referred to by
“n Bangladesh. Dear Sirs, Reference is drawn to your attention to FEP Circular Letter No. 08 dated March 11, 2020, and FEP Circular Letter No. 31 dated September 10, 2020. 02. In accordance with the instr”
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