N AB, 1947

G D KT f |

N AB D
K YN N N
regulate N AB gh Foreign Exchange
Regulation(FER) Act 1947 | ABu X G D N
DX h L To provide for the regulation of -

Certain payments;
Dealings in foreign exchange and securities; and
The import and export of currency

N Foreign Currency
Foreign currency means any currency other than
Bangladesh Currency. However, currency includes - all coins, currency notes, bank notes, postal notes,
money orders, cheques, drafts, Travellers cheques,
letters of credit, bills of exchange and promissory
nots.
- [ Section 2, FER Act, 1947]

Foreign Exchange Transactions

Transactions that have any one of the following
features
Involves any currency other than local
currency i.e. cross currency transactions.
Involves at least one country other than own
country i.e. cross border transactions.

Foreign Exchange Regulation in Bangladesh

In Bangladesh foreign exchange transactions are
managed and administered under the Provisions of
Foreign Exchange Regulation Act, 1947 adapted in
Bangladesh.
This Act confers upon Bangladesh Bank the
necessary powers to control the foreign exchange
transactions of the country and to permit payment
for authorised purposes.

Other Regulations for Foreign Exchange

Transactions in Bangladesh

Guidelines For Foreign Exchange Transactions, 2009

Import Policy Order,
Export Policy ,
FE Circulars
Circular Letters
Practices(ICC Rules)

Section -1 : Short title, extent and commencement

G ABu Foreign Exchange Regulation Act,

1947 A | Gu Y K,
K YN GK j
N N. j T YY
|

Section -2 : Interpretation
G Agh N term G Km/X N h | , authorised dealer,
foreign exchange , currency, foreign currency B |
(a) "authorised dealer" means a person for the time being
authorised under section 3 to deal in foreign exchange;
(b)"currency" includes all coins, currency notes, bank
notes,
postal notes, money orders, cheques, drafts, traveller's cheques,
letters of credit, bills of exchange and promissory notes;
(c) "foreign currency" means any currency other than Bangladesh
currency;
(d) "foreign exchange" means foreign currency and includes any
instrument drawn, accepted, made or issued under
clause (13)
of Article 16 of the Bangladesh Bank Order, 1972, all deposits,
credits and balances payable in any foreign currency and any
draft, traveller's cheque, letter of credit and bill of exchange
expressed or drawn in Bangladesh currency but payable in any
foreign currency;

Section -3 : Authorized Dealer in Foreign Exchange

G A T K KN N /N N

j B N _N | G TB K KN
jN KNN N j Gx B N _N |

B G N
G A/N/B

(1) N N j N N j
(2) N N A N N f j
(3) j A
(4) j N |

Section -3 : Authorized Dealer in Foreign Exchange

B T
K KN jL D B I N |
B
GNj A x N K N Nj K
KN NN jN f GK
K KN G KY KY G N
N Nj |

Section -3 : Authorized Dealer in Foreign Exchange

N A x B
B G
N

N N

N N Nj N

Authorise
d Dealer
License
(AD
License)

KN
XN G
B N N
|

N A N
, A- N, ,
T, fN B X N
, Y Nu
N , N
f B|

Gx B N KN
/KN X N
N G AB 3
Ka f |

fs fs
B

X gf 1000 N x
/u , Y
Nu (/) N
N |

K KN NN BN
fsK B NDB
fsK G
AB 3 Ka
f |

u , K ,
fs
S, xuN x
B
IDj B |

/ K KN A
YN Nu N N
N /u N | N-f N G
AB 3 Ka |

Section 4 : Restrictions on dealing in foreign exchange

Gx'

N A x K KN
A A N A N K
B N N /Nj Y, /Nj N
| A x A N N
N |
N K KN NN B Gx KN/ fs A
NI N - N N, A AB 4
Ka f | Y Y K KN NN
B Gx KN/ fs G Nu N N |
AN, A j N j N
K KN NN B Gx KN/ fs G Nu
N | G A AB DX 4 Ka f |

Section 4 : Restrictions on dealing in foreign exchange

K KN N
K KN NN A/ N | G
AB A T K KN
f j Nh |
D hzN N H D , T
hzN N T

N N D (particular purpose) N N
AN Aj N N A T N N N AN
N N, H D A D H N | N
H D N N A
H A N N N Gx Nu N |

Section 5 : Restrictions on payments

G u A AB A DXY f N | G
K KN Foreign Exchange Transactions N
I GK A regulate N ABY AN Nh |
G , K KN NN A
A/A N L

(a) AN A/ -
K B / N N A /A N |
G A gh A j N A / N
, A, T, |
(b) N / N /A AN AN -
G N Bill of Exchange/ Promissory Note B Yu N A
G N debt acknowledge N N K B N
N Y/ N N AN |

Section 5 : Restrictions on payments

(c) A T
K / K B N N A
T N N A/A N |
(d) K B Aj X -
K B N Nu A B NI Nu N A
j X ( place any sum to the credit of any person resident outside
Bangladesh)| T , K KN NN A/A
KN uN j X G AB Ka | AN X Aj
A KN j N GK G u A I f X
|
(e) Aj D A -
N A / N (1) D A B N
Aj N K N A D A Aj
N A A N A/u Y
N K N (2) D u A N T
K B u Y Aj N/ AN
/ |

Section 5 : Restrictions on payments

T N gh , K KN
A
uN , KN uN
I jN, Aj,
BN xu Nx Y I
B G AB 5 Ka
|

Section 5 : Restrictions on payments

Current Account Convertibility
G AN K KN A f X
A x KNZN N A Nh | T,
, B T Y DX
T K KN Y Nh |
N Y Nu- K GK N Z j
h sN AN 2000 N x N A j
sN h AN 5000 N x Y | A (AN 12 ) j N
Nu DX AN |
fN/A B GNX uNu K YN Nu
N Nu BY N L
GNX uNu G A Nu N N (
500 N x N N sN A A 4,500 N
x GNX uNu j N |

Current Account Convertibility

fN N Y
m fNN GK fN O N
AN 10,000/- N x N A x KN N |
G N hz K KN A T |
A K AN A N , N , Bu A K

A NT NN f , A N , N ,
Bu A K N A x KN I N |
AjN xu Nx B I
N Y Nu, NN u Nu , N I N
X N Y j j hzY AKN, kj DT n Nu GK
N AjN Nx K A x KN
KY I N |

Section 6 : Blocked Accounts

Blocked Account/A G N o K
KN A N GNu KN N A/X Blocked
Account/A X h A G GNu GB AB
K KN block N h |

G D
G AB 5 A N N AN G
|
K KN N G N f
-
K KN A Blocked Account G
N D N |

Section 7 : Special Accounts

N D /Zu N j Yju
uN G A j N H u
N H u K KN, K
KN A x f (special
account AX) |

Section 8 : Restrictions on import and export of currency and bullion

-, N B A I
K KN A N N N
u A / A N GK N u
A / A K uN/ N |

-, N B A I
Yju uN
N/K KN uN j a
GK a N N N A
jYN A N N |

Section 8 : Restrictions on import and export of currency and bullion

jN Yju uN
jN Yju uN K AYN N
a N gf 5000 N x A N N
A N N KY | KY A N
5000 N x/ G AN Form 'FMJ'
(Foreign Money and Jewelry)' a N | a N
A N N | a N
AN 2000 K uN A N GK YN KY
N | KY A K G AN a
N | [ A N N
Af N ]
K AY/K YN N
A Y Yj AK N Y
AKN KY A/ |

Section 9 : Acquisition by Government of Foreign Exchange

N Nu N N N N K KN
Nu N N |
/A NN N N N N
uN G N/K KN jYN
A N N | D N Nu 5000 N x
G AN N 30 j N, H
GB AB da A | DX, N Nu
j N 5000 N x G AN N 30 A
x G Nu N | I A NN N
hold N I hN AYN X |

N a
(FOREIGN EXCHANGE DECLARATION FORM )

GGj
FMJ FORM

(1947 N AB G 8(1) A K KN NN ) (Prescribed by Bangladesh Bank

Under Section 8(1) of the Foreign Exchange Regulation Act, 1947 )
GB u K AYN NN N B (This form is to be filled in by a person entering
Bangladesh.
L
Full Name

jL
Nationality :

u KPassport No.

B L
Place of Issue

AY X I L
Date & time of arrival :

B X L
Date of Issue :

A L
Duration of stay in abroad :

Bu L
Flight No:

K wN
Address in Bangladesh:

Profession:

YY L
Contact No:

a
DECLARATION

KY A N /KN xu/u fN
Currency/Bank Draft/Travelers Cheque brought in:
Name of Currency

Amount

In words

A TN, G Nh , D wN |
I , as named above, hereby solemnly declare that the information given above is correct.
aN T L
Signature of Declarant :
X L
Date :
NN T L
Signature of Customs Official
X
Date :
AL L L
P.T.O

Information for Declarant

(aN j m )
1.

An incoming/outgoing passenger may bring in/take out upto Taka 2000 ( two thousand) in Bangladesh currency at the time
of arrival into/departure from Bangladesh.

1.

K AY/K B YN N K AN 2000/) (B j) uN
A/B B |

2.

Any amount of foreign currency may be brought in by an incoming passenger with declaration to the customs authorities in
Form FMJ. No declaration, however, is necessary for amounts brought in upto US$ 5000/= or equivalent. For a foreigner, the
entire amount brought in with declaration or upto US$ 5000/= brought in without declaration may be taken out freely at the
time of departure. Upto US$ 5000/= brought in without declaration by a Bangladeshi may also be retained and taken out
freely while proceeding abroad. Amount in excess of US$ 5000/=, brought in by the resident Bangladeshis, should, however,
be encashed or deposited in appropriate foreign currency account within 30 days of arrival. Such amounts brought in by
non-resident Bangladeshis can be encashed or deposited in foreign currency account any time after return to Bangladesh.

2.

NT Nu GGj a N N N K AYN KY
A B | A N AN LxL 5000/- B NT
Nu a AN B | Y T a N A N GK
a N A AN LxL 5000/- K YN A Y B| a
N A LxL 5000/- K YNY TI KY TY GK K B YN
KY Y B; G N AKN K T K AY 30
uN eB/j N j N B | A K NN A GB
AKN K A N uN eB A N j N
|

Information for Declarant

(aN j m )

3. Encashment of foreign exchange brought in should be done with licensed money changers/
Authorised Dealer bank branches.

3.

KY A N uN Y fs/A x KN X
N B |

4. An incoming/outgoing adult female passenger may bring in/take out any quantity of personal
jewellery worn on her person or as part of her accompanying personal baggage.

4.

K AY/K B YN N A Y
Yj AK N Y AKN KY A/B B |

Section 12 : Payment for exported goods

GK h
N Nu a N ; A,
N uN D m A N |

G jN uN N G j
Nh , jjN 120
| K KN A N 120 AN N
A N |

Section 12 : Payment for exported goods

G T N NNN EXP
G N a N
A 120 | G
AI DX h , K KN A G
Nh N Kau
D AN au A
A N A K KN
A N AKN A N A
au |
N N I
YB GB AB da AY A |

Section 18.A : Restriction on Agents

K KN A N, K
YN G A K incorporated G N
N Gju Nj N | K YN G
T A K incorporated G N N
Gju/NN/D Nj N G AB DX
N K KN A Y N | DX, G AB
DX N Bu Ix, K Gju, K
Gju, BuK Gju BN K KN A Y N |

Section 18.B : Restriction on Foreign Companies

K G N A K incorporated
G N K N D (activity of trading,
commercial or industrial nature) N X/A A N
N G AB DX N K
KN A Y N | DX, K
K, jj N, incorporated
NN DX K KN A Y N |

Section 19 : Power to call for information

N/K KN N N /N
NDuj G NN G K u X j
uN j N | N , B N KY
N f, N Nu A Nu
j N N |
Section 19A : Power of inspection

N A K KN N GN GNN NN
N // I A D
Nj f GK I A j N
A | N NN Nu AI
// GK X GK
GN GK N |

Section 21 : Contracts in evasion of this Act

N G N f N T T G
AB N da GK G AB jN N -
G da N |

Section 22 : False Statement

N G AB 19 A N A- ( )
A G AB A N /NT Nu X/a
N A A X N |

Section 23 : Penalty and procedures

ND G AB N A G AB jN -N A-
da N da N f N, Code of Criminal Procedure,
1898 G B NN N, G AB 23(N) Yw uB
f N f X gf f N A j A
D N | , NDu,
D AB da N h, uB Bgh N j
N |
Code of Criminal Procedure, 1898 G B NN N G A
Y N A A Y N N
N Yju uN G N |

Section 23 : Penalty and procedures

N K KN NN A N X AY
N G AB A Y N A uB Y N
|
GX DX , A Nj N G AB N -N
da Nh G N A N A - X
Y H AY N |
X A GNu N GNu Nu x X D
N/Nu x N fN, N, GK A NN
m H A jz I Y f |

Section 23 :A. Tribunal, its powers etc.

N jjB Kau G AB 23 N N
Y A f N uB | jj j N
f j AI GNu A jj Nu N
A jjB uB f |

uBu j f N f T GNu 1
ju T Y N | G ju N f Nj A I
Code of Criminal Procedure, 1898 G A N GK
X D Nx T Y N |

Section 23 :A. Tribunal, its powers etc.

(N) AN Y N N ;
(X) Y j N ;
(Y) N A GK N j N
N ;
(a) N GNj N xu X A
N ;
(b) AN j N |
f KT (K KN A ND)
a BNu A
N |

Section 26 : Bar of Legal Proceedings

N G AB G AB jN N -N
N A N N Nh N N N N N T
N ABY |

Section 27 : Power to make rules

N GB AB NN Y T A Yju
N / /f N |

THANKS

Cross Border Fund Movement Banking Window

Banks work as a gateway to move fund across the borders.
Typically, there are two types of accounts under which funds
move between countries. They are
Capital account; and
Current account
This accounts form two way traffics. In addition to this
accounts, there is another type of transaction which is called
as donation/contribution. This is one way traffic.

Cross Border Fund Movement Banking Window

Capital Account:
Bangladesh Taka is not freely convertible for capital account transactions.
Only investment in Bangladesh is permitted under capital account
transactions.

Current Account:
Bangladesh Taka is freely convertible on current account transactions.
However, there is an indicative limit for Authorized Dealers (ADs) to
conduct transactions under current account without reference to
Bangladesh Bank. Beyond this limit, ADs need to refer the cases to BB for
approval.
Classification of transactions under current account:
Current account transactions are basically classified into two categories such
as - Trade and Non-trade.

Cross Border Fund Movement Banking Window

Value of Goods and Services : Business transactions for selling and
purchasing of goods and services should be conducted at fair value.
Manipulation of price results in illegal movement of fund from one
country to another.

Price manipulation: Price of goods and services is manipulated on

different hidden grounds in conducting business transactions. They are

Money laundering;
Terrorist financing;
Income tax avoidance/evasion;
Avoidance of import duty;
Capital flight;
Availing export subsidy;
Concealment of illegal income; etc.

Cross Border Fund Movement Banking Window

Movement of fund into Bangladesh

In the following ways, fund may move into Bangladesh illegally through
banking windowUnder valued import of goods and services,
Over valued export of goods and services;
Falsely described import/export of goods and services (over stated
import/under stated export);
Non payment against imported goods and services.

Movement of fund out of Bangladesh

In the following ways, fund may move out of Bangladesh illegally

through banking windowOver valued import of goods and services,
Under valued export of goods and services;
Falsely described import/export of goods and services (under stated
import/over stated export);
Non repatriation of export proceeds/service income.

Cross Border Fund Movement Banking Window

Brief Description: Ways of Fund Movement
Over valued of goods and services
Under valued of goods and services
Overstated goods and services
Falsely described goods and services
Non-payment of goods and services.