Regulatory Alerts2022-07-03
Added
PSD Circular Letter No. 04: Disbursing inward remittance to customer accounts through IBFT in NPSB system
The document exempts inward remittances and associated incentives disbursed via Internet Banking Fund Transfer (IBFT) in the National Payment Switch Bangladesh (NPSB) system from the institutional unit transaction and daily transaction maximum limits specified in PSD Circular No. 09. Banks are required to use separate Merchant Category Codes (MCC 6014 for remittances and 6015 for incentives) to identify these transactions distinctly and must resolve any resulting disputes by the next business day. Additionally, banks must ensure strict compliance with foreign exchange policy directives and the Money Laundering Prevention Act regarding these transfers, with the instructions taking immediate effect.
Payment Systems Department Bangladesh Bank Head Office Dhaka
PSD Circular Letter No.: 04 Date: 19 Asharh, 1429 03 July, 2022
Managing Director / Chief Executive Officer All Scheduled Banks Operating in Bangladesh
Dear Sir,
Regarding the provision of inward remittance to customer accounts through IBFT in the NPSB system.
In continuation of PSD Circular No. 09 dated: 30 June, 2021 and PSD Circular No. 03 dated: 28 April, 2022, regarding the provision of remittances through Internet Banking Fund Transfer (IBFT) in the National Payment Switch Bangladesh (NPSB) system, the following instructions are hereby provided:
a) In the case of providing remittances and related incentives through IBFT in the NPSB system, the conditions regarding the maximum limit for institutional unit transactions and the maximum limit for daily transactions mentioned in serial number 05(b) of PSD Circular No. 09 dated: 30 June, 2021, shall not apply.
b) To identify remittance-related transactions separately, the remittance receiving bank shall use separate Merchant Category Codes (MCC) for 'Remittance' and 'Incentive', namely 6014 and 6015 respectively.
c) In the case of providing remittances through IBFT in the NPSB system, the bank shall resolve any arising disputes (Disputes) within the next business day.
d) Banks shall ensure proper compliance with the directives issued by the Foreign Exchange Policy Department regarding the provision of inward remittances and related incentives.
e) Banks shall ensure proper compliance with the Money Laundering Prevention Act and the directives issued thereunder regarding such fund transfers.
These instructions shall take immediate effect.
Yours faithfully,
(Signature) (Md. Majbaur Haque) Director (PSD) Phone: 9530174