BB eases forex rules

The Bangladesh Bank (BB) yesterday eased foreign exchange rules through three separate notices, allowing banks to remit different types of payments abroad without central bank approval.
The relaxed rules will apply to banks making payments to accounts that handle lease rentals by airlines incorporated in Bangladesh.
It will also apply to remittances for service charges to the bank accounts of cloud services, IT infrastructure and remote software applications.
Banks can also make payments on behalf of service arrangers routing respective services to the ultimate users without prior BB approval.
Resident Bangladeshis proceeding abroad for professional or skilled employment or immigration are required to maintain bank accounts in the respective country before obtaining a visa.
So, banks will be allowed to remit funds to deposit in the accounts as per the requirements of relevant authorities abroad.
A central bank official said that Bangladesh Bank has continuously been updating regulations to enhance smooth cross-border transactions.
The new rules will empower banks to make outward remittances on behalf of their customers for meeting relevant payments without prior approval from the Bangladesh Bank, he added.