Feature of Foreign Exchange Regulation Act of Bangladesh
Foreign Exchange Regulation Act, 1947
Foreign Exchange Regulation Act, 1947 (Act No. VH of 1947) enacted on 11th March, 1947 in the then British India provides the legal basis for regulating certain payments, dealings in foreign exchange and securities and the import and export of currency and bullion. This Act was first adapted in Pakistan and then, in Bangladesh. The Act is reproduced. Bangladesh Bank is responsible for administration of regulations under the Act. Bangladesh Bank’s offices and their jurisdictions provide a list. Basic regulations under the PER Act are issued by the Government as well as by the Bangladesh Bank in the form of Notifications, which are published in the Bangladesh Gazette.
The major objectives of the act are to conserve the limited foreign exchange resources and to ensure that the available foreign exchange is utilized only for priority requirements the economic and financial interests of Bangladesh and the maintenance of the proper accounting of foreign exchange receipt and payments. Bangladesh Bank is responsible for administration of regulations under the Act. Bangladesh Bank reviews the exchange control measures from time to time and revises the instructions on policy and measures, whenever necessary through different Foreign Exchange (FE) circulars.
Total 27 section
Last amendment year 2015
This Act may be called the Foreign Exchange Regulation Act, 1947.
It extends to the whole of Bangladesh, and applies to -
(a) all citizens of Bangladesh;
(b) all persons resident in Bangladesh; and
(c) all persons in the service of the People’s Republic of Bangladesh wherever they may be.]
Foreign Exchange Regulation Act, 1947 (Act No. VH of 1947) enacted on 11th March, 1947 in the then British India provides the legal basis for regulating certain payments, dealings in foreign exchange and securities and the import and export of currency and bullion. This Act was first adapted in Pakistan and then, in Bangladesh. The Act is reproduced. Bangladesh Bank is responsible for administration of regulations under the Act. Bangladesh Bank’s offices and their jurisdictions provide a list. Basic regulations under the PER Act are issued by the Government as well as by the Bangladesh Bank in the form of Notifications, which are published in the Bangladesh Gazette.
The major objectives of the act are to conserve the limited foreign exchange resources and to ensure that the available foreign exchange is utilized only for priority requirements the economic and financial interests of Bangladesh and the maintenance of the proper accounting of foreign exchange receipt and payments. Bangladesh Bank is responsible for administration of regulations under the Act. Bangladesh Bank reviews the exchange control measures from time to time and revises the instructions on policy and measures, whenever necessary through different Foreign Exchange (FE) circulars.
Total 27 section
Last amendment year 2015
This Act may be called the Foreign Exchange Regulation Act, 1947.
It extends to the whole of Bangladesh, and applies to -
(a) all citizens of Bangladesh;
(b) all persons resident in Bangladesh; and
(c) all persons in the service of the People’s Republic of Bangladesh wherever they may be.]
Bangladesh Bank:
Bangladesh Bank (BB) means the Bangladesh Bank established under the Bangladesh Bank Order, 1972 (President’s Order No. 127 of 1972).
Taka:
Taka means the Bangladesh Taka unless otherwise specified.
Dollar:Unless otherwise in ipublication shall mean the US dollar.
Authorized Dealers:
Wherever used in this publication, the term Authorized Dealer or AD would mean a bank Authorized -by Bangladesh Bank to deal in foreign exchange under the FER Act, 19
Foreign Exchange Regulation Act, 1994:
This Act regulates the exchange of foreign currencies, remittances and opening of foreign currency account under various classifications. According to this law, FC Accounts can be opened without initial deposits, and bears no interest and both the account holder and the nominee can operate the account. The entire remittance from adored is free from income tax. It also states the documents required for the opening of such account.
----“currency” includes –
all coins, currency notes, bank notes, postal notes, moneyorders, cheques, drafts, traveller’s cheques, letters of credit, bills of exchange and promissory notes;
all coins, currency notes, bank notes, postal notes, moneyorders, cheques, drafts, traveller’s cheques, letters of credit, bills of exchange and promissory notes;
--“current account transaction” means receipts and payments which are not for the purpose of transferring capital, and also includes
--“foreign currency” means any currency other than Bangladesh currency;
--“Bangladesh currency” means currency which is expressed or drawn in Bangladesh Taka;
| Restrictions on dealing in foreign exchange: Except with the previous general or special permission of the Bangladesh Bank, no person other than an authorised dealer shall in Bangladesh and no person resident in Bangladesh, other than an authorised dealer all outside Bangladesh, buy or borrow from, or sell or lend to, or exchange with, any person not being an authorised dealer, any foreign exchange. Restrictions on payment: Save as may be provided in and in accordance with any general or special exemption from the provisions of this sub-section which may be granted conditionally or unconditionally by the Bangladesh Bank, no person in, or resident in, Bangladesh shall- (a) make any payment to or for the credit of any person resident outside Bangladesh; (b) draw, issue or negotiate any bill of exchange or promissory note or acknowledge any debt, so that a right (whether actual or contingent) to receive a payment is created or transferred in favour of any person resident outside Bangladesh; |
| False statements: (22)- No person shall, when complying with any order or direction under section 19 or when making any application or declaration to any authority or person for any purpose under this Act, give any information or make any statement which he knows or has reasonable cause to believe to be false, or not true, in any material particular. |
Category: Foreign Exchange, International Trade and Foreign Exchange
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