Bangladesh banking and foreign exchange regulatory shifts

Bangladesh Bank has implemented several regulatory changes affecting the country’s banking and foreign exchange landscape.

In late September 2026, the central bank introduced new regulations for offshore banking units (OBUs), allowing them to conduct cross-currency swaps and engage directly in foreign currency trading. This measure aims to provide OBUs with increased flexibility in managing liquidity and exchange-rate exposures. During this same period, Standard Chartered Bank initiated plans to wind down its retail banking and credit card operations in the country, with local institutions such as BRAC Bank and City Bank showing interest in acquiring these services.

Following these developments, the central bank issued a revised circular to facilitate international travel payments. The update expands the ability of Bangladeshi citizens with valid visas to purchase air tickets from 17 foreign airlines using international debit and credit cards. Unlike previous rules that required settlement through a local Authorized Dealer (AD) bank, the new provision allows for transactions where settlement occurs through international acquiring systems outside of Bangladesh. This change is intended to simplify online ticket sales and reduce the necessity for foreign airlines to maintain local acquiring arrangements.