Home ›› 17 Jun 2022 ›› Front
Bangladeshi nationals’ deposits in Swiss banks rose by 54.74 per cent to 871 million Swiss francs (CHF) in 2021.
Data from the Swiss National
Bank (SNB) released Thursday shows Bangladeshi nationals’ deposits in several Swiss banks stood at 871 million CHF in 2021, which were 562.93 million CHF in 2020.
Deposits of Indian nationals rose by 50 per cent to 3.82 billion CHF, which was 2.55 billion CHF in 2020.
Sri Lankan nationals deposited 56 million CHF in 2021, down 57.89 per cent compared to 133 million CHF in 2020.
Deposits of Pakistanis also recorded a 9.91 per cent rise to 705.95 million CHF, which were 642.28 million CHF in 2020.
“Usually, illegal money is sent through over- and under-invoicing of exports and imports. As the Covid-19 pandemic hit the export-import trade by disrupting supply chains, there were fewer options to send money in 2020,” Masrur Reaz, chairman of Policy Exchange of Bangladesh, told The Business Post.
As the economy reopened by mid-2021 with the easing of the pandemic, depositors got the option again and deposits thus increased in 2021, said the economist.
On the other hand, sending money through hundi also caused deposits to rise, he added.
Economists said the lack of implementation of government initiatives to stop laundering is another reason for the rise in deposits.
“To stop money laundering, the government has an action plan that involves the agencies concerned. But this is not implemented, which could be a reason for the rise in deposits,” Towfiqul Islam Khan, senior research fellow at the Centre for Policy Dialogue, told The Business Post.
“I think the action plan’s proper implementation as well as stopping corruption and other means of amassing illegal wealth could be a tool to prevent illegal capital flight,” he added.
Another economist said, “It could be that illegal capital flight from Bangladesh increased as politicians and business people had laundered money ahead of elections. This might be the reason for the rise in deposits in Swiss banks.”
