Mobile financial services allowed to bring in remittance

Mobile financial service providers (MFSPs) have been allowed to bring in wage earners' remittance to Bangladesh, said the central bank today.

In Bangladesh, banks can make drawing arrangements with exchange houses abroad without prior permission from the Bangladesh Bank.

They are also allowed to go for drawing arrangements without letters of reference or certificates from the Bangladesh embassy or high commissions of the respective country.

In order to bring wider flexibility, MFSPs will be allowed to repatriate wage earners' remittance in association with internationally recognised online payment gateway service providers, banks, digital wallets, card schemes and aggregators abroad, said the BB in a notice.

In this context, MFSPs must have standing arrangements with foreign payment service providers (PSPs) to receive foreign currency in their account and equivalent taka value will be credited to the wage earners' MFS accounts.

Bangladesh rolled out MFS in 2011. Since then, the service has exploded in the country.

At present, 13 MFS operators are providing services to more than 18 crore account holders who are transferring nearly Tk 3,000 crore daily.