Send remittance thru formal channels

We think expatriate Bangladeshis known as ‘remittance warriors’ have been playing an important role in developing the country’s economy. Remittance sent by them does not only boost the economy but also helps increase the country’s foreign exchange reserves. President Mohammed Shahabuddin has urged the expatriate Bangladeshis to send remittance through proper channels.

The President has made the call when a delegation of NRB World, an organization of non-resident Bangladeshis living in different countries, paid a courtesy call on him at Bangabhaban in Dhaka on Sunday. We, however, notice that taking advantage of modern technology, an organized gang is still alluring expatriate Bangladeshis to send remittance through informal channels like hundi, an illegal cross-border money transfer net- work.

The cyber intelligence unit of Criminal Investigation Department (CID) claimed to have found more than 5,000 agent accounts of mobile financial service providers involved in illegal transactions of money. As a result, all these foreign currencies are not added to the central reserves of foreign currency and Bangladesh faces a shortage or crisis of foreign currency. An organized gang is still alluring expatriate Bangladeshis to send remittance through informal channels like hundi Such a mismatch in earning of foreign currencies through remittance raises a question about proper monitoring among sector-insiders and experts who indicate the presence of illegal hundi operators in the supply chain.

A high- level task force is going to be formed immediately to protect people from illegal financial transactions and online fraudulence. The task force will comprise members from Finance Division of Finance Ministry, Bangladesh Bank, Bangladesh Financial Intelligence Unit (BFIU), Criminal Investigation Department (CID) of Police and Bangladesh Telecommunication Regulatory Commission (BTRC). The members of task force will hold meeting every month to discuss the issue relating to illegal financial transactions and online fraudulence.

They will later formulate strategies to prevent illegal financial transitions. The stakeholders concerned will identify the problems and come up with solutions to address the digital security challenges. We think this initiative will bring the unbanked people into the formal financial sector and lead to greater financial intermediation and contribute to the economic growth. Expatriate Bangladeshis should pay heed to the President’s call and send their money through legal channels. The government has provided special stimulus of 2.5 percent for sending money through legal channels. The authorities concerned must take necessary measures so that dreams of the expatriate Bangladeshis do not turn into nightmare due to misuse of their hard-earned money.