Profit repatriation process for foreign firms to be eased

Financial Institutions Division of the Ministry of Finance has asked Bangladesh Bank (BB) to ease rules of profit repatriation process for foreign investment firms operating in Bangladesh.

Financial institutions division senior secretary Md Ashadul Islam sent a letter to BB governor Fazle Kabir in this regard on Tuesday (June 23).

The letter said, ensuring easy repatriation of foreign investment to one's home country is one of the prerequisites for creating an investment-friendly environment.

The Covid-19 crisis has created the possibility of relocating many foreign investments and industries from China to Bangladesh. Many countries in the region are easing their investment laws, regulations, tax systems and banking systems in order to attract such foreign investment, the letter further read.

Secretary Ashadul said in the letter, “Urgent action was needed by all concerned agencies so that foreign investors can easily repatriate the dividends of their investments in their own country or elsewhere. Therefore, simplification and modernization of regulations in banking activities and its practical application were essential. To this effect, we have asked Bangladesh Bank to take urgent steps to make the banking process easier and faster.”

In a cabinet meeting held on June 8, Prime Minister Sheikh Hasina directed all concerned to take necessary steps to ensure that foreign investors can repatriate their investments without any hindrance. She emphasized on ensuring the best banking services for foreign investors in investment and repatriation of invested funds.