BB relaxes guidelines on remittance incentives
The central bank yesterday relaxed the guidelines of providing cash incentives to the beneficiaries of remittances.
To any extent further, banks are allowed to provide funds incentive to beneficiaries of remittances, who'll receive a lot more than $ 5,000 within a purchase, without verifying the records of remitters with the overseas exchange properties and banks.
The banks, which disburse remittance to the beneficiaries, will need to check the papers by themselves responsibility by way of communicating with the local lenders that accumulate remittance initially, according to a Bangladesh Bank notice.
The banking regulator earlier asked banks to verify the paperwork of migrant workers, who send remittance, with the overseas banks as well as exchange houses.
But many foreign lenders and exchange residence are showing reluctance to share the documents of consumers with the Bangladeshi banks.
The local banks had to verify the passport number, appointment letter, work permit order of migrant workers.
The documents are now supplied by the beneficiaries of remittance to the neighborhood banks.
Between July and November, remittance hit $10.90 billion, up 41.32 % year-on-year.
This has had a great effect on the country's forex reserve.
The reserve stood at $41.18 billion by November 25 in contrast to $31.72 billion twelve months earlier.
