Unrecorded capital flow from Bangladesh stood $61.63 billion between 2005 and 2014, riding mostly on misinvoicing, according to a report of Global Financial Integrity. Commenting on the report, former chief economist of Bangladesh Bank, Biru Paksha Paul, pointed out that under-invoicing in export and over-invoicing in import are the key drivers behind illicit capital flight. If under-invoicing in export and over-invoicing in import can be controlled, around 50% illegal capital flight could be stopped, said Paul. Political uncertainty will have to be removed to prevent illicit capital flight, observed former finance adviser to a caretaker government AB Mirza Azizul Islam. “Illicit capital outflow from Bangladesh in 2014 is a little less compared to 2013, but there is no visible sign of improvement.

Source: Dhaka Tribune May 02, 2017 14:48 UTC