Financial Intelligence Unit warns banks against buying remittance dollars at higher rates | The Business Standard
Skip to main content
  • Latest
  • Economy
    • Banking
    • Stocks
    • Industry
    • Analysis
    • Bazaar
    • RMG
    • Corporates
    • Aviation
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
The Business Standard

Saturday
June 14, 2025

Sign In
Subscribe
  • Latest
  • Economy
    • Banking
    • Stocks
    • Industry
    • Analysis
    • Bazaar
    • RMG
    • Corporates
    • Aviation
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
SATURDAY, JUNE 14, 2025
Financial Intelligence Unit warns banks against buying remittance dollars at higher rates

Banking

Tonmoy Modak
20 July, 2023, 10:35 pm
Last modified: 22 July, 2023, 10:48 am

Related News

  • Extended Eid holidays may reduce remittance inflows, expatriates turn to unofficial channels
  • Remittance hits second-highest monthly record of $2.97b in May ahead of Eid
  • Bangladeshis in US may suffer as 5% tax proposed on sending remittances by non-citizens
  • How Bangladeshi workers lost $1.3b in remittance fees, exchange rate volatility in 2024
  • Dollar steady at Tk122.50, experts say more time needed to realise impact

Financial Intelligence Unit warns banks against buying remittance dollars at higher rates

Tonmoy Modak
20 July, 2023, 10:35 pm
Last modified: 22 July, 2023, 10:48 am
Representational image. Photo: Collected
Representational image. Photo: Collected

The Bangladesh Financial Intelligence Unit has issued a warning to all banks, cautioning them against collecting remittances at rates higher than the prescribed rate. 

In a letter issued to this effect on Thursday addressing to the bank managing directors, the intelligence unit observed that certain commercial banks operating in Bangladesh have been paying more than the fixed rate for remittances from abroad. As a result, the agency has advised these banks to refrain from such transactions in the future and to exercise caution in this matter.

The prescribed rate for banks to collect remittances is determined by the Bangladesh Foreign Exchange Dealers' Association (Bafeda) and the Association of Bankers, Bangladesh (ABB). 

The Business Standard Google News Keep updated, follow The Business Standard's Google news channel

According to the latest decision, banks are required to collect remittances at a maximum rate of Tk108.50. 

The central bank has repeatedly emphasised that all banks must adhere to this rate. Furthermore, Bafeda and the ABB have set a rule that no more than Tk109 can be charged for selling dollars.

As part of their investigation into the matter, the central bank is examining 14 banks that are allegedly offering higher rates for buying remittance dollars and selling dollars for import settlement.

A senior official from the Financial Intelligence Unit has revealed that a meeting was held with representatives from seven banks and nine money exchange houses on 6 July. 

During the meeting, banks were warned not to collect remittances at rates higher than the prescribed rate. Despite this warning, it has come to their attention that many other banks are still offering higher rates. 

The official further stated that if banks continue to offer higher rates, they may face punitive measures, including fines. The banks have been urged to abide by the rules and regulations set forth by the authorities.

A senior official from a private bank noted that when some banks offer higher rates for remittances, it creates pressure on other banks. This, in turn, prompts money exchange houses to demand higher rates for remittance dollars.

Consequently, banks that follow the prescribed rates experience a decrease in remittances. As a result, there has been an increase in the number of banks offering higher prices for remittances compared to previous periods.

It is evident from a review of monthly figures for remittance income that some banks are indeed offering higher remittance rates. 

These banks incur higher costs to buy dollars, which leads them to sell dollars at a higher price. As a result, they are unable to sell dollars at the fixed rate of Tk109 as set by Bafeda and the ABB.

In a report titled "Remittance hits 35-month high in June," published in The Business Standard on 3 July, it was highlighted that many banks were offering rates higher than the prescribed remittance rate set by Bafeda.

Data from the central bank revealed that Bangladesh received a total of $21.61 billion in remittances in FY23, marking a 2.75% increase compared to the previous fiscal year's figure of $21.03 billion. In the first 14 days of July 2023, the country received $996 million in wage earners' remittances.

Economy / Top News

remittance / Dollar rate

Comments

While most comments will be posted if they are on-topic and not abusive, moderation decisions are subjective. Published comments are readers’ own views and The Business Standard does not endorse any of the readers’ comments.

Top Stories

  • Infographic: TBS
    Govt plans incentives for Bangladeshis bringing in foreign investment
  • Missiles launched from Iran are intercepted as seen from Tel Aviv. REUTERS/Jamal Awad
    Iran launches waves of missiles at Israel in response to airstrikes
  • The bus responsible for the accident that left 5 dead and 15 injured in Dinajpur on 14 June 2025. Photo: UNB
    5 dead, 15 injured in Dinajpur road crash

MOST VIEWED

  • Energy adviser Fouzul Kabir Khan with other government officials during a visit to Sylhet gas field on 13 June 2025. Photo: TBS
    I would disconnect gas supply to every home in Dhaka if I could: Energy adviser
  • BNP Acting Chairperson Tarique Rahman and Chief Adviser  Muhammad Yunus meet at Dorchester Hotel in London, UK on 13 June 2025. Photo: CA Press Wing
    National polls possible in 2nd week of February, agree Yunus, Tarique in 'historic' London meeting
  • Rescuers work at the scene of a damaged building in the aftermath of Israeli strikes, in Tehran, Iran, June 13, 2025. Majid Asgaripour/WANA (West Asia News Agency) via REUTERS
    Tehran retaliates with 100 drones after Israel strikes Iran's nuclear facilities, kills military leaders
  • From fact-checker to fact-checked: CA Press Wing’s turn in the hot seat
    From fact-checker to fact-checked: CA Press Wing’s turn in the hot seat
  • UK Prime Minister Keir Starmer, Chief Adviser Muhammad Yunus
    Disclosure of unconfirmed Yunus-Starmer meeting shows ‘diplomatic imprudence’: Analysts
  • Flight AI 379 had landed. File Photo: Hindustan Times
    Day after Ahmedabad crash, Air India flight makes emergency landing in Thailand after bomb threat

Related News

  • Extended Eid holidays may reduce remittance inflows, expatriates turn to unofficial channels
  • Remittance hits second-highest monthly record of $2.97b in May ahead of Eid
  • Bangladeshis in US may suffer as 5% tax proposed on sending remittances by non-citizens
  • How Bangladeshi workers lost $1.3b in remittance fees, exchange rate volatility in 2024
  • Dollar steady at Tk122.50, experts say more time needed to realise impact

Features

Photos: Collected

Kurtis that make a great office wear

20h | Mode
Among pet birds in the country, lovebirds are the most common, and they are also the most numerous in the haat. Photo: Junayet Rashel

Where feathers meet fortune: How a small pigeon stall became Dhaka’s premiere bird market

2d | Panorama
Illustration: Duniya Jahan/ TBS

Forget Katy Perry, here’s Bangladesh’s Ruthba Yasmin shooting for the moon

3d | Features
File photo of Eid holidaymakers returning to the capital from their country homes/Rajib Dhar

Dhaka: The city we never want to return to, but always do

5d | Features

More Videos from TBS

CA Yunus returns home from London

CA Yunus returns home from London

8m | TBS Today
Israeli warplanes shot down; pilot detained by Iran

Israeli warplanes shot down; pilot detained by Iran

48m | TBS News Updates
Iran launches 100 missile attacks, US with Israeli support

Iran launches 100 missile attacks, US with Israeli support

1h | TBS World
No Cash in ATMs: System Glitch or Something Deeper?

No Cash in ATMs: System Glitch or Something Deeper?

14h | TBS Today
EMAIL US
contact@tbsnews.net
FOLLOW US
WHATSAPP
+880 1847416158
The Business Standard
  • About Us
  • Contact us
  • Sitemap
  • Advertisement
  • Privacy Policy
  • Comment Policy
Copyright © 2025
The Business Standard All rights reserved
Technical Partner: RSI Lab

Contact Us

The Business Standard

Main Office -4/A, Eskaton Garden, Dhaka- 1000

Phone: +8801847 416158 - 59

Send Opinion articles to - oped.tbs@gmail.com

For advertisement- sales@tbsnews.net