Bangladesh Bank doubles foreign currency limit for medical treatment abroad to $30,000
Bangladesh Bank has doubled the limit on taking dollars abroad for medical treatment. From now on, a person can take up to 30,000 US dollars, or the equivalent in other foreign currency, for treatment abroad without prior approval from Bangladesh Bank. The earlier limit was 15,000 dollars. The central bank has also made it easier to send money for secondary and higher secondary education abroad.
Bangladesh Bank’s Foreign Exchange Policy Department 2 issued a circular on the matter on Monday (9 November). The circular has been sent to all authorised dealer (AD) banks that handle foreign currency transactions in the country.
Under the new instruction, authorised dealer banks can now release up to 30,000 dollars for medical treatment abroad without prior approval from the central bank. Earlier, the maximum was 15,000 dollars. This decision will make it easier for people who want treatment abroad to get foreign currency.
The central bank has also opened a new option for study abroad. Earlier, sending money abroad for school level education needed prior approval from Bangladesh Bank. Under the new instruction, authorised dealer banks can release foreign currency on their own for secondary and higher secondary level education. However, banks must check whether the institution offers free education.
The central bank has also widened the option to send foreign currency for correspondence courses. Earlier, people could send money for certification and professional courses without prior approval from Bangladesh Bank. The new instruction adds regular academic studies to this list. So authorised dealer banks can release foreign currency for these courses without prior approval from the central bank.
On the other hand, Bangladesh Bank has set a new condition for keeping foreign currency brought into the country in Resident Foreign Currency Deposit (RFCD) accounts. From now on, citizens living in Bangladesh who bring foreign currency from abroad must declare it to customs authorities through Form FMJ if they want to deposit it in an RFCD account. Only foreign currency declared to customs will be eligible for such accounts.
Bangladesh Bank said it set this condition because it has raised and widened the options for sending foreign currency for personal travel, medical treatment, study abroad and other approved purposes.
The circular says the related sections of the current foreign exchange rules will be treated as amended where needed to put the new decision in place. All other existing instructions will stay unchanged.
