The Ministry of Finance plans to reform the land registration system with the real price of land instead of mouza based on the government fixed rate method.

As a result, the price at which the land is bought or sold will be mentioned in the land registration deed document. Finance Minister AHM Mustafa Kamal has decided to come up with an effective method for buying and selling land at a competitive market price.

Kamal announced this decision in a meeting of the National Coordination Committee, held recently, which was formed to formulate and implement guidelines and policies to prevent money laundering and financing of terrorism.

Financial Institutions Division Secretary Sheikh Mohammad Salim Ullah has been given the task of developing the new system.

He will do the work along with coordination of the Ministry of Land, Directorate of Registration; Ministry of Law, Justice and Parliamentary Affairs, and National Board of Revenue (NBR).

Read: Bangladesh makes progress in efforts to locally produce Covid-19 vaccines: Health Minister

The officials who participated in the meeting said that the finance minister said a large amount of legitimate money is becoming illegal because high-value land is shown at a much lower price, in the deed registration. The money is smuggled abroad later as it becomes illegal income as per law.

The cabinet department held many meetings on the matter, but no decision could be reached. It is better to prevent smuggling than to recover the money smuggled out of the country, the Finance Ministry thought.

If land registration is made on the market rate, money laundering will be reduced.

In the meeting, Bangladesh Bank Governor Abdur Rouf Talukder said that due to the fact that the real value is not shown during the land registration, many times legal money becomes illegal.

It is possible to solve this problem only through the market-based rate mentioned in the land deed registration, he said.