The 33-year-old was a member of Australia's World Cup-winning team last month but only took seven wickets at an average of 33.86. His Test career stalled in recent years following shoulder injuries and soft tissue leg complaints.
Reiffel played 35 Tests for Australia, taking 104 wickets at an average of 26.96. He took five wickets in an innings five times, his best haul being 6 for 71 against England at Edgbaston in 1993.
Reiffel, a skilled lower-order batsman, made 955 Test runs at 26.53, with a highest score of 79 not out against South Africa on his home turf at Melbourne in 1997-98. He played 92 one-day internationals, snaring 106 wickets at 29.20.
Bangladesh will appoint the former South African cricketer Eddie Barlow as the country's coach for the next four years. Barlow is likely to take up his new job after the Bangladesh board meets on 6 August to approve the appointment.
Barlow will succeed the former West Indian opening batsman Gordon Greenidge, who was sacked during the recent World Cup following a row with board officials over team selection.