Brac Bank has suspended all sorts of cash withdrawals by its cardholders outside Bangladesh, amid the country's persisting forex crisis.
The suspension became effective from Sunday, according to a notice issued by the private bank to its customers.
However, Brac Bank cardholders will be able to conduct transactions for purchases through point of sale (POS) terminals and e-commerce services within their designated travel quota, the notice further stated.
It was also not notified how long the suspension would last.
Foreign currency cash is issued to customers from Brac Bank branches when customers endorse their travel quota and show travel documents, the statement said.
"It is our policy to encourage usage of digital and electronic payment capabilities, as well as discourage cash transactions," Selim RF Hussain, managing director and CEO of Brac Bank, told Dhaka Tribune.
Electronic debits or payments will continue outside Bangladesh; only cash withdrawals are discontinued, he also said.
"We also discontinued cash withdrawals on Taka credit cards wUthin Bangladesh a few years ago," the Brac Bank MD and CEO further stated.
"Our customers can use our cards to purchase goods and services from merchants but cannot withdraw cash for general use. This is a credit-control measure. It will also ensure a clear audit trail regarding the usage of cards," Hussain also said.
"Foreign currency cash is issued to customers from Brac Bank branches within Bangladesh when customers endorse their travel quota and show appropriate travel docs. We have sufficient cash reserves in Bangladesh to serve our customers," he added.
