this presentation was done by me and my friend on "remittance issue of Bangladesh: and the contemporary features, facilities, procedure and performance of Dhaka Bank LTD in Bangladesh. for the sake of simplicity whole issue is divided into 2 groups- 1. overall remittance situation and overview in BD 2. process, performance, facilities etc. of remittance provided by Dhaka Bank LTD. thank U.

2. TOPICS OF PRESENTATION
OVERVIEW OF REMITTANCE MARKET
PROCESS, PERFORMANCE & FACILITIES THUS
OVERALL REMITTANCE ACTIVITY OF DHAKA
BANK .
 Remittance scenario of Dhaka bank Ltd.
 Remittance performance of Dhaka bank Ltd.
 Mobile remittance.
 Service profile.
 Facilities provided by mobile remittance.
 Operational procedure.
 M-wallet registration and transaction .
 Mobile remittance accounting process.
 Mobile wallet process.
 Bangladesh bank policies.
 Finishing with a prospective scenario of
remittance.
Landscape of remittance in Bangladesh.
Key source countries for remittance.
Reasons for growth in remittance.
Roadblocks in current remittance
process.
Current market scenario and market
players.

3.  A key driver of economic
growth and poverty
reduction in
Bangladesh, increasing at an
average annual rate of 19
percent in the last 30 years
(1979-2008).
 Bangladesh was the seventh
largest remittance earner in
FY 2010-11.
 The semi -skilled or
unskilled workers are the
main source of obtaining
more remittance inflow in
the country.
Figure 1: Remittance and number of migrated people
Landscape Of Remittance In Bangladesh.

4. Key Source Countries For Remittance
 In the FY 2011-2012, the highest remittance received
was from Saudi Arabia. (29 percent)
 The second highest remittance was received from
U.A.E (18.65 percent).
 The share of Europe in receiving total remittances is
only about 8 percent, where most remittances
were from the United Kingdom and Germany.
 Data trend shows that remittance might reduce
further by the end of this current fiscal year.
 According to Bangladesh Association of International
Recruiting Agencies (BAIRA), over 80,000
Bangladeshis worked in Libya. The recent crisis in Libya
has forced to quit many of the Bangladeshi workers
from strife-torn Libya.
Figure 2: Share Of Remittance From Different Countries

5. Reasons For Growth In Remittance
• Stable macro-economic indicators including GDP growth.
• Steady growth in manpower export specially in the middle east.
• Substantial devaluation of the local currency.
• Rapid urbanization.
• Development of new remittance corridors in Australia and part of Europe.
• Increased focus of Central Bank and the Government to channel funds through
formal channels.
• Increased competition among financial institution to grab market share.
• Aggressive marketing policy adopted by Banks to increase their share of wallet.
• MFIs involvement in channeling remittance funds in remote areas.
• Participation in the UN peace keeping missions.
• Anti-Money Laundering rules and regulations coming in force.

6. Roadblocks In Current Remittance Process
Major roadblocks of a smooth and efficient payment of
foreign remittances are as follows :
 Poor infrastructure in rural and semi-urban economy
 Inadequate reach of private commercial banks within
the country
 Massive information asymmetry in the market
 Active ‘Hundi’ market
 Inefficiency of financial institutions
 Poorly regulated exchange houses
 Low literacy rate in the country
 Uneven competition among financial institutions
 Lack of investment in IT backbone development for
market efficiency
These inefficiencies are resulting
in because of high share of ‘Hundi’.
At present, the share of ‘Hundi’
business constitutes roughly 40% of
total incoming foreign remittances.

7. Current Market Situation And Market Players
Positive
• The market has experienced a palmy growth in
recent years due to the current global economic
recession which drove the demand of the low cost
labor of Bangladeshi expatriates residing in
various countries of the world.
VS
Negative
• Because of growing global economy, the demand
for specialized and skilled labor force are
restraining the demand for low cost labor
MARKET PLAYERS
• State Commercial Banks (SCBs) and the
1st generation Private Commercial Banks
(PCBs) have captured the greater share of
the market due to their-
1. long time operation in the country
and
2. nationwide branch coverage
Market Share in the SCBs & Specialized Banks
Sonali Bank
Agrani Bank
Janata Bank
BKB
Rupali Bank
Market Share in PCBs
Islami Bank
National Bank
BRAC Bank
Uttara Bank
South East Bank
Pubali Bank
Prime Bank
Others

8. Remittance Scenario Of Dhaka Bank Ltd
Remittance Performance Of Dhaka
Bank Limited:
 Starting from 2004, DB is continuing
its remittance business under General
Trade Services (GTS) which already has
successfully strengthened the remittance
disbursement network by including
2,222 telecom point locations in its
existing network.
 DBL has partnered with 18 exchange
houses worldwide to facilitate
remittance inflow
 The bank currently has an astounding
network of 4,915 remittance
disbursement locations nationwide
The bank, through GTS, has
established agreement with other NCBs.
 Moreover, it has entered into the
Eldorado, an elite network of 12
PCBs, for inland fund transfer and
disbursement.
Dhaka Bank is one of the pioneers in Mobile Remittance in
Bangladesh.
The Bank has channelized USD.113 million and USD 117
million in the year 2009 and 2010 respectively with a Growth
Rate Of 3.54%
Particulars 2009 2010 Growth Market Growth
Remittance Inflow (Amount in Million USD) 113 117 3.54% 2.06%
No. of Account Credit Transaction 78923 72665 -7.92% NA
No. of Cash Payout ( Apprx.) 19200 44400 131.25% NA

9. Mobile Remittance
[in collaboration with orascom telecom]
 DBL has introduced Mobile Phone based Remittance Payment
System for the first time in BD which makes it more easy for BD
people.
Under this system, beneficiaries will be able to enjoy 2 types of
service—
1. M-Wallet Account (Only for Banglalink users)
2. Coupon Payment (Cash Payout)
A Hassle Free, Quick And Efficient
Settlement Of Remittance For
The Rural People

10. Service Profile
Dhaka Bank Mobile Remittance provides service
in 2 facets
1. M-Wallet Account:
A virtual account opened and maintained
in Dhaka Bank system with assistance from
Banglalink server.
Receiver receives his/her remittance
directly in the M-Wallet account.
The process is finishe by receiver’s
encashing of the remittance according
her/his need.
 the receiver has the leeway to partially
reimburse the remittance in the any 2,222
Bank accredited Banglalink cash point.
2. Coupon Payment:
The only difference in this case is
beneficiary receives the amount from a Bank
accredited Banglalink cash point instead of
bank branch or partner NGO branch.
beneficiary provides the PIN (secret
number) to the Banglalink agent along with
other required information.
Agent then checks the PIN and matches
the information in Dhaka Bank server (routed
through Banglalink server) with the help of
his mobile phone.
Banglalink agents disburse the remittance.

11. Facilities Provided By Mobile Remittance
For the Beneficiary For The Correspondent
 Augmentation of the number of payment locations to 2,222
that literally covers the remotest location of the country (currently
786 locations are in operation and 442 more locations are ready for
operation).
 Faster disbursement of foreign remittance that will enable a
beneficiary to receive his/her fund within 2 (two) hours of receiving
the instruction from correspondent.
 An extended remittance receiving hour from 9 AM to 6 PM
for the beneficiaries.
 Introduction of remittance defrayment in the weekends as
the Telecom outlets are open 365 days a year.
 Option for beneficiary to open a Mobile Wallet account with
the bank and receive his/her fund in his/her Mobile Wallet account
that facilitates partial encashment of the remittance.
 Escalated Customer Service through well-trained customer
care executive of Orascom Telecom (Banglalink).
 24-7 Call Centre support from the telecom
•Quicker and faster processing of the instructions and
Uniqueness of the service will result in more business for
the correspondents.
•Multiple payment instructions sending facility in a day as
the system will be updated every 2-hour.

12. Operational Procedure

13. M-wallet Registration And Transaction

14. Mobile remittance accounting process

15. Mobile Wallet Process

16. Bangladesh Bank Policies
 BL (Banglalink) Collection A/C is a non-cheque account and funds from this
account cannot be withdrawn by BL. Cash-outs can only be made by DBL to BL
after having ‘Successful Transaction’ status sent by BL.
 BL will have to maintain the settlement A/C with DBL at all times during the
tenure of the agreement even if BL offers this same service to other institutions

17. Finishing With A Prospective Scenario Of Remittance
Under the business as usual scenario,
remittance might stand at USD 12880.05
million in FY 2012-13.
Figure 6:Future scenario of Remittance