Offshore Banking
Shoring Up Resilience: Harnessing Offshore Banking to Strengthen Bangladesh’s Financial Future
The recent regulatory developments in offshore banking in Bangladesh are viewed as a vital new source of foreign exchange, especially during this period of shortage.
Innovative investment options vital for foreign investors
Dhaka Bank has extensive experience in offshore banking, being one of the first local private banks to secure an offshore banking license. Currently, the bank operates two Offshore Banking Units (OBUs) and a customer service center, offering a comprehensive range of offshore banking services.
Ensuring safety through governance and compliance
Since the launch of our Offshore Banking Unit (OBU) at BRAC Bank, the experience has been highly encouraging and rewarding.
Avoiding abrupt regulatory changes is essential
Since 2009, City Bank’s Offshore Banking Unit (OBU) has been supporting trade finance for export-oriented businesses.
Streamlining verification to enhance accessibility and convenience
The launch of our Offshore Banking (OB) deposit products for non-resident Bangladeshis (NRBs), foreign individuals, and corporations marks a significant milestone, opening new horizons for Bangladeshi banks in the global arena.
Stable policies to attract offshore investment
Since launching offshore operations in 2008, Bank Asia’s Offshore Banking Unit (OBU) has arranged about USD 3 billion from international banks and development financial institutions to finance industrial transactions in USD and EUR.
Collaborative approach key to restoring confidence
Shahjalal Islami Bank (SJIB) has been providing exceptional customer service in offshore banking since 2008.
Ensure transparency within banking sector
The experience since launching our offshore banking unit has been positive and rewarding in terms of client acquisition and financial growth.
Anchoring financial growth
Offshore banking is considered a timely measure to support Bangladesh’s economy by addressing the ongoing dollar crisis, which is affecting numerous trade and industrial activities. In addition to export earnings and remittances, this banking segment has already contributed to the dollar supply. Increasing deposits from foreign sources and boosting investments through offshore banking holds significant potential to help stabilize the economy.
Endorse strategies to mitigate market risks
Since 2004, Offshore Banking has been central to Commercial Bank of Ceylon (CBC) in Bangladesh, following its acquisition of Credit Agricole Indosuez Bank. As a foreign bank with over 100 years of legacy, CBC has consistently maintained a robust FCY deposit base, contributing around 25% to the bank’s balance sheet.
Overview of Offshore Banking in Bangladesh
Interest/profit offered on fixed deposits is higher than the international rates and depends on the deposit period:
Escalating Opportunities for Expatriates
While Bangladesh earns a significant portion of its foreign currency inflow through exports and remittances, the recent Offshore Banking Act of 2024 presents a new avenue for boosting foreign reserves.
Meeting the diverse needs of customers
Offshore banking is becoming a vital avenue for banks in Bangladesh to attract foreign currency deposits, thereby facilitating investments and international trade. This sector has the potential to alleviate the current foreign currency crisis by providing much-needed liquidity and helping stabilize currency management.
Empowering key associates via training
Following the introduction of the Offshore Banking Act, we are delighted to have received an overwhelmingly positive response.
Targeted campaigns required to inform expatriates
In 1985, offshore banking was introduced in Bangladesh, contributing to the enhancement of overall banking functions and broadening our bank’s exposure to foreign exchange.
Rewarding Saving solutions for depositors
Offshore banking is a time-honored mechanism employed by Bangladesh Bank to attract foreign currency and recycle it into the economy in the form of investments.
Reap the rewards
As more Bangladeshis live and work abroad, securing a prosperous future means making smarter financial choices today. Offshore banking has emerged as a strategic tool for Bangladesh, offering its citizens abroad a way to stay financially connected to their homeland while accessing global benefits.