Bangladesh Bank has increased the annual foreign currency travel quota for Bangladeshi citizens traveling abroad from $12,000 to $18,000.

This decision has been taken to facilitate the fulfillment of actual travel-related foreign exchange demands.

Bangladesh Bank issued a circular on Sunday revising the existing travel-facility guidelines.

Under this update, the annual limit for foreign currency usage during foreign travel has been raised for adult Bangladeshi citizens residing in the country.

According to the circular, Authorized Dealer (AD) banks can now release up to $18,000 or an equivalent amount in foreign currency to any adult Bangladeshi citizen for international travel within a single calendar year. Previously, this limit stood at $12,000.

Bangladesh Bank stated that the decision was made taking into account the actual travel-related foreign exchange needs of Bangladeshi citizens and the evolving requirements of international travel.

The new limit applies on a calendar year basis. However, for minors under the age of 12, the allowance remains unchanged at 50 percent of the quota allocated for adults.

Meanwhile, the existing limit for cash foreign currency notes remains unaltered.

Within the applicable annual travel quota, individuals are permitted to carry a maximum of $5,000 in physical cash banknotes.

The expansion of the travel quota is expected to provide greater flexibility for Bangladeshi citizens in meeting their foreign exchange needs for tourism, visiting relatives, and other approved overseas trips.

The annual travel quota for adult citizens was previously capped at $12,000.

The latest decision raises the limit by $6,000, or 50 percent, marking a significant relaxation in the country's foreign currency management system for overseas travel.