Bangladesh Bank eases foreign exchange rules for freelancers

Bangladesh Bank has relaxed foreign exchange transaction rules for freelancers and individual service exporters in a move aimed at supporting the country's expanding digital services sector.

Under the new guidelines, freelancers can receive payments using electronic evidence, including platform statements, emails and other digital communications, reducing dependence on traditional export documentation and making transactions more compatible with digital trade.

According to a circular issued today, inward remittances of up to $20,000 can be credited without formal declaration requirements, facilitating small-value transactions.

The guidelines also allow payments of up to $10,000 per transaction through online payment gateway service providers (OPGSPs), with arrangements in place to ensure the timely repatriation of funds to Bangladesh.

The circular further permits the issuance of dual-currency freelancer cards and broadens the use of mobile financial service (MFS) providers and payment service providers (PSPs), expanding access to digital payment channels.

Freelancers in the ICT sector will be allowed to retain up to 50 percent of their export earnings in foreign currency accounts under the exporters' retention quota (ERQ), while other service exporters can retain up to 30 percent, giving them greater flexibility in handling international business expenses.

The move is being seen as timely as Bangladesh's digital trade and freelance economy continue to evolve.

By simplifying procedures and expanding access to formal payment channels, the new rules are expected to encourage the formalisation of service export earnings, improve transparency and strengthen foreign exchange inflows.

Business insiders said the initiative would make it easier for freelancers to conduct international business, encourage the use of formal remittance channels and help integrate Bangladesh's service exporters further into the global digital economy.