Bangladesh Bank Doubles Dollar Spending Limit for Overseas Medical Treatment

Bangladesh Bank has doubled the limit on foreign currency that Bangladeshis can spend abroad for medical treatment. Individuals can now spend up to US$30,000 without prior approval from the central bank. The bank has also eased rules on sending money abroad for secondary and higher secondary education, removing the requirement for prior approval.

On Monday (November 9), the central bank's Foreign Exchange Policy Department-2 issued a circular announcing the changes. The directive relaxes foreign currency release procedures for authorised dealer (AD) banks.

Under the new rules, AD banks can release up to US$30,000, or its equivalent in foreign currency, per customer for overseas medical treatment without obtaining prior approval from Bangladesh Bank. The previous limit was US$15,000.

The circular has also removed the prior approval requirement for sending money abroad to cover school-level education expenses. Banks can now directly remit funds for secondary and higher secondary education, or equivalent levels. However, they must verify whether free education is available in the destination country.

The rules have also been relaxed for payments covering professional and certification courses, as well as regular academic studies through correspondence or distance-learning programmes. Banks can now remit foreign currency for these purposes without prior approval from Bangladesh Bank.

Meanwhile, resident Bangladeshis returning home can deposit foreign currency brought with them into a Resident Foreign Currency Deposit (RFCD) account after declaring it to customs authorities using Form FMJ. The facility also applies to foreign currency carried for personal travel, medical treatment, education and other permitted purposes.

Bangladesh Bank said all other existing rules and directives governing foreign exchange transactions will remain unchanged.