Money exchange business at stake
Thursday, 5 June 2008
The growing money exchange business is at stake as the Indian High Commission (HC) and some other foreign missions have introduced new rule, reports UNB.
According to sources, the Indian HC has introduced rule that Bangladeshi applicants for visa are to get at least US$ 150 equivalent to foreign currency endorsed by a commercial bank failing which, applications will not be accepted.
The High Commission has also asked the visa applicants to get the foreign exchange endorsed by the State Bank of India in Dhaka.
The money exchange firms alleged that the decision of the Indian HC has rendered them useless. For, most of their clients are India-bound travellers.
Although it was mentioned that endorsement from any commercial bank would be accepted, the real situation is different. The Indian visa office refuses to accept visa application without endorsement by the State Bank of India," said Mohammad Mostafa Khan, president of Money Changers' Association of Bangladesh (MCAB).
He also said some other foreign missions have also adopted similar system.
"It is not clear why Indian High Commission adopted the system which is contrary to the country's law. The central bank that issued licence for doing business regulates and monitors our transactions," Mostafa Khan said.
He expressed concern that the Indian action would give rise to illegal transaction of foreign currencies causing harm to the economy.
"We have been given a minimum 0.5 million (5.0 lakh) dollars transaction target annually to keep the licence alive. With change in rule by the Indian HC, we will not be able to fulfil the quota," Mostafa Khan added.
An official of the Visa Section of Indian HC told the news agency that the new rule was introduced as they found fake more than 50 per cent endorsements done by the money exchange firms.
According to sources, the Indian HC has introduced rule that Bangladeshi applicants for visa are to get at least US$ 150 equivalent to foreign currency endorsed by a commercial bank failing which, applications will not be accepted.
The High Commission has also asked the visa applicants to get the foreign exchange endorsed by the State Bank of India in Dhaka.
The money exchange firms alleged that the decision of the Indian HC has rendered them useless. For, most of their clients are India-bound travellers.
Although it was mentioned that endorsement from any commercial bank would be accepted, the real situation is different. The Indian visa office refuses to accept visa application without endorsement by the State Bank of India," said Mohammad Mostafa Khan, president of Money Changers' Association of Bangladesh (MCAB).
He also said some other foreign missions have also adopted similar system.
"It is not clear why Indian High Commission adopted the system which is contrary to the country's law. The central bank that issued licence for doing business regulates and monitors our transactions," Mostafa Khan said.
He expressed concern that the Indian action would give rise to illegal transaction of foreign currencies causing harm to the economy.
"We have been given a minimum 0.5 million (5.0 lakh) dollars transaction target annually to keep the licence alive. With change in rule by the Indian HC, we will not be able to fulfil the quota," Mostafa Khan added.
An official of the Visa Section of Indian HC told the news agency that the new rule was introduced as they found fake more than 50 per cent endorsements done by the money exchange firms.