Bangladesh Bank Doubles E-Commerce Export Limit with New Remittance Rules

Bangladesh Bank has taken a significant step towards modernising the country’s export infrastructure by issuing two separate circulars on Wednesday, 5 November, through its Foreign Exchange Policy Department (FEPD). These directives aim to strengthen the digital ecosystem for e-commerce and small-scale exporters, enabling them to receive payments more efficiently and securely through licensed mobile and digital financial service providers.

The central bank noted that the decision forms part of a broader effort to encourage micro, small, and online-based exporters to conduct international trade via digital platforms. By widening the channels available for receiving export income, the bank hopes to create a more inclusive and resilient export environment—particularly beneficial for entrepreneurs operating without access to traditional banking networks.

Expanded Scope for Export Earnings Repatriation

Under the new guidelines, exporters of unrestricted or non-restricted goods can now repatriate their income through Bangladesh Bank–licensed Mobile Financial Service Providers (MFS) and Payment Service Providers (PSP). This change will allow digital entrepreneurs and small merchants to receive foreign earnings directly into their mobile wallets or digital accounts, significantly reducing operational barriers.

Until now, MFS and PSP institutions were authorised solely to process repatriated income from information technology (IT) service exports, such as software development, outsourcing services, and digital content creation. With the latest circular, their remit now includes the repatriation of earnings from low-value goods exports, such as handicrafts, handmade accessories, small apparel items, and lifestyle products—categories that have grown rapidly in Bangladesh’s emerging e-commerce market.

Regulatory Compliance Required

Bangladesh Bank has also instructed authorised dealer banks to ensure full compliance with the relevant foreign exchange regulations. Banks must verify all transactions routed through MFS and PSP channels and maintain appropriate documentation to uphold transparency, security, and alignment with existing compliance frameworks.

Why This Matters

Industry analysts view this regulatory expansion as a timely policy intervention that aligns Bangladesh with global trends in digital trade and fintech-led financial inclusion. With more exporters relying on social commerce platforms, cross-border marketplaces, and online storefronts, streamlined digital repatriation mechanisms are expected to reduce transaction delays, lower banking costs, and support the growth of micro-exporters.

This move is also anticipated to strengthen Bangladesh’s foothold in niche export segments and encourage thousands of online sellers to explore international markets without the obstacles previously posed by conventional banking processes.

Summary of Policy Changes