Written by The Banking Post
Bangladesh Bank has issued a new circular on June 23, 2026 introducing a Non-Resident Convertible Taka Account (NRCTA) facility for Non-Resident Bangladeshis (NRBs), aimed at channeling remittance inflows, strengthening investment linkages, and expanding offshore banking operations through Offshore Banking Units (OBUs) of scheduled banks.
Under the new framework, NRBs will be allowed to open NRCTAs with OBUs in the form of savings, current, or fixed deposit accounts against inward remittances routed through banking channels. The accounts may also receive funds transferred from other NRCTAs, interest earnings, proceeds from permitted investments, refunds of share subscriptions, and other approved foreign exchange-related inflows.
Both principal and accrued interest in NRCTAs will be freely repatriable. The circular also permits a range of uses, including legitimate local payments, transfers to other non-resident accounts, conversion into foreign currency accounts, and investment in Bangladesh in the form of Foreign Direct Investment (FDI) or portfolio investment.
In a significant operational feature, deposits mobilized under NRCTAs may be used by OBUs to extend Taka-denominated financing to Type A industrial enterprises in specialized zones. Such financing will be useable for admissible current expenditure including wages, salaries, and utility payments, with repayment to be made strictly from export proceeds of the borrowing enterprises.
The circular also allows Domestic Banking Units (DBUs) of account-maintaining OBUs to extend loans against NRCTA deposits held as lien for NRBs or their nominated parties. These loans may be used for personal or business purposes, excluding agriculture, plantation activities, and real estate-related investments. The proceeds may also support non-repatriable investments in Bangladesh or residential property for self-use, subject to regulatory compliance.
Industry insiders indicate that the new NRCTA framework is designed to deepen financial intermediation of remittances, enhance offshore banking efficiency, and create structured channels for NRB participation in domestic investment while maintaining full regulatory oversight. This will support Taka liquidity to Type A enterprises of specialized zones, they noted.
