Finance Minister AHM Mustafa Kamal on Thursday said the government will continue the 2.5 per cent incentive on inward remittance in fiscal 2022-23, reports BSS.
“In FY2020-2021, the growth of remittance stood at 36.10 per cent. However, since the very beginning of FY2021-2022, the income from remittances has slightly decreased. With a view to encouraging remittance through legal channels, we raised the rate of incentives 0.5 percentage point to 2.5 per cent from January 2022,” he said.
In his speech, Kamal said the government has withdrawn the mandatory provisions for submission of earning documents of the remitters in the case of availing cash incentives against remittances exceeding the amount of US$ 5,000.
“As a result, in the recent months, the flow of remittance has begun to increase again. It is expected that a satisfactory growth of remittance will be back on track soon. I am proposing keeping the same rate of incentive for remittance in the next fiscal year,” he added.