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Banks asked to share dollar endorsement online

  • Staff Correspondent
  • 8 February, 2023 12:00 AM
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Banks asked to share dollar endorsement online

Bangladesh Bank has directed the commercial banks and the money exchange firms to share annual dollar endorsement data online against each passport.

Foreign Exchange Operation Department of the central bank issued a circular in this regard on Tuesday. 

The economists, however, expressed concerns over the online scanning of dollar endorsement activities at microlevel instead of monitoring the money laundering at the macrolevel. Bangladesh Bank former governor Dr. Salehuddin Ahmed observed that the engagement in such microlevel activities would not stop the money laundering.

“That is a part of monitoring. But I think that the over-scanning of individual passports would discourage people from going to formal banking channels,” Dr. Salehuddin told the Daily Sun.

The individual travelling abroad would only be allowed to carry the highest $12,000 in each calendar year during his/her staying abroad. In addition, another $10,000 can be endorsed against foreign travel on medical grounds.  Policy Exchange Bangladesh chairman Dr. M Masrur Reaz said that the scan on individual passports would not improve the foreign exchange situation and dollar market in the country.

“In our import-dependent economy, the money laundering mostly happened through trade finance. How much dollars an individual can expense. Such monitoring would create a negative impact on travel of individuals abroad,” said Dr. Reaz.