Track shipments

Banks urged to track import shipments to prevent money laundering

Earlier on April 20, the central bank asked them to track export shipments

TBS report

May 17, 2022, 10:20 p.m.

Last modification: May 17, 2022, 10:21 p.m.

Archive photo of the port of Chattogram. Photo: TBS

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Archive photo of the port of Chattogram. Photo: TBS

The Bangladesh Bank has asked authorized dealers – banks providing foreign exchange services – to track import shipments related to their transactions to confirm whether the goods are on board incoming vessels.

The central bank’s foreign exchange policy department issued a circular in this regard on Tuesday, saying it would come into effect immediately.

“Previously, banks were instructed to track export shipments. Now the central bank applied import policy too mainly to prevent money laundering,” a senior central bank official said. He wished to remain anonymous as he was not authorized to speak to the media.

Banks have been instructed to follow the process with recognized tracking systems.

The Bangladesh Bank issued the Export Shipment Tracking Circular on April 20, in which it states that at different times, banks have been seen making payments against export documents without actually exporting, which created an opportunity for money laundering. The tracking system was put in place to prevent such a crime.