Authorized dealers (ADs) of banks will now be able to remit outward payment through international card channels.
In a circular on Monday Bangladesh Bank has given the permission to authorised dealers.
Traditionally banks execute transactions through SWIFT (Society for Worldwide Interbank Financial Telecommunication) messages. Exchange houses facilitate wage remittances as per the prevailing arrangements.
"ADs can use international card channels as alternative to traditional banking channel to effect outward remittances on behalf of customers for permissible payments in accordance with the Guidelines for Foreign Exchange Transactions (GFET)," said the central bank circular.
"The central bank has continuously been updating foreign exchange regulations to facilitate business," said an official of the central bank.
He said the new system will facilitate smooth remittance transactions through international cards as per requirements of foreign beneficiaries.
Under the new system, banks will be able to effect outward remittance on the internet through international remittance cards issued in their names.
The central bank issued the notice instructing banks to effect remittances on account of IT-related expenses, membership fees, fees for application, registration, admission, examination, etc.
The Bangladesh Bank notice also said that the banks were allowed to make payment for permissible study abroad; visa processing fee, immigration visa processing fees, evaluation fees, right of landing fee, registration/participation fee for attending training, seminar, workshop abroad; publication related fees of articles in international journals; travel expenses on health ground; and payments for tour operations from their foreign currency accounts on behalf of their customers through the channel.
