The New Nation - Internet Edition

Staff Reporter

Commercial banks will not have to inform Bangladesh Bank about transactions of cash less than Tk 7 lakh from now on.

The central bank issued a circular yesterday raising the ceiling of submission of monthly Cash Transaction Report (CTR) from existing Tk 5 lakh to Tk 7 lakh.

This will make wealthy persons and businessmen freer to withdraw cash and deposit the same to their accounts, without being questioned by any authority about the causes of transactions.

Bangladesh bank did it in line with the Government's move to bring back businessmen's confidence, sources concerned said. The circular will be effective from the current month (September).

The CTR for the month of September should be submited by October 21, 2007 and the report will have to be prepared only on the cash transactions of Tk 700,000 or above.

A senior Bangladesh Bank official explained it saying, "The amount cash transaction was too small to inform the central bank." Bankers and businessmen had been demanding to raise the ceiling, he added.

However, the commercial banks can inform the central bank about any suspicious transaction to cheque money laundering and other kinds of corruption.

Commercial banks will have to continue submiting Suspicious Transaction Reports (STR) besides the CTR, as the two reports are completely different, explained an official.

The issue was also discussed at the meetings of Anti-Money Laundering National Task Force before raising the ceiling.