How to send money from Australia to Bangladesh

Migratio Editorial · Last updated 23 July 2026

TL;DR: Australia has no outbound cap. Bangladesh Bank encourages inward remittances and provides a 2.5% cash incentive on remittances received through formal banking channels. The AUD-to-BDT corridor offers bank deposit, mobile wallet (bKash, Nagad), and cash pickup options. The 2.5% incentive effectively subsidises the transfer cost for recipients.

Australia has no outbound cap. Bangladesh Bank encourages inward remittances and provides a 2.5% cash incentive on remittances received through formal banking channels. The AUD-to-BDT corridor offers bank deposit, mobile wallet (bKash, Nagad), and cash pickup options. The 2.5% incentive effectively subsidises the transfer cost for recipients.

Overview

Bangladesh is among the top remittance-receiving countries globally. The government actively incentivises formal channel usage through Bangladesh Bank's 2.5% cash incentive on inward remittances. This makes the Australia-to-Bangladesh corridor particularly attractive when using bank or licensed transfer channels.

Outbound rules (Australia)

No cap. AUSTRAC reporting applies automatically (AUSTRAC).

Inbound rules (Bangladesh)

Bangladesh Bank permits and encourages personal inward remittances with no cap. The 2.5% cash incentive is paid directly to the beneficiary's bank account on top of the remitted amount, for remittances received through authorised banks and licensed exchange houses (Bangladesh Bank). This incentive is funded by the government and is designed to channel remittances away from informal (hundi) systems.

Fee comparison

Specialist services (Wise, Remitly, WorldRemit): AUD-to-BDT margins of 0.5–2%, fees of AUD 2–15.

Remittance providers (Western Union, MoneyGram): Cash pickup available through agent networks. Some support bKash delivery.

Australian banks: AUD 20–35 plus 2–5% margin.

Delivery options

Bank deposit: To major Bangladeshi banks (Sonali Bank, Dutch-Bangla Bank, BRAC Bank, Islami Bank). 1–2 business days. The 2.5% incentive is automatically credited.

Mobile wallet (bKash, Nagad): Some providers support delivery to bKash or Nagad accounts. The 2.5% incentive applies to mobile wallet deliveries through authorised channels.

Cash pickup: Through bank branches and exchange house agent networks. Minutes.

Speed

Mobile wallet and cash pickup: minutes. Specialist services bank deposit: 1–2 business days. Bank SWIFT: 2–4 business days.

Tax implications

Australia: No tax on outbound transfers.

Bangladesh: Personal inward remittances are not taxed. The 2.5% incentive is also tax-free for the recipient.

Common mistakes

Not ensuring the transfer goes through a channel eligible for the 2.5% incentive. The incentive applies to remittances through authorised banks and licensed exchange houses. Confirm your provider's channel is eligible.

Using informal channels. Beyond being illegal, informal channels (hundi) forfeit the 2.5% government incentive, which on a large remittance can be a significant amount.

Frequently asked questions

How much can I send from Australia to Bangladesh?

No Australian cap. Bangladesh has no cap on personal inward remittances.

What is the 2.5% remittance incentive?

Bangladesh Bank pays a 2.5% cash incentive on remittances received through formal banking and licensed exchange channels. It is credited directly to the recipient.

Can I send to bKash from Australia?

Yes, through selected providers that support bKash delivery. The 2.5% incentive applies.

Is the money taxed in Bangladesh?

No. Personal inward remittances and the 2.5% incentive are both tax-free.

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