Regulatory Alerts2021-01-14
Added
Advance payments against imports under buyer’s credit
Authorized Dealers in Foreign Exchange in Bangladesh are permitted to execute advance payments for permissible imports directly by external financiers or offshore banking operations of scheduled banks under short-term buyer’s credit. This authorization applies irrespective of the amount, provided repayment guarantees acceptable to the Authorized Dealers are received from banks abroad and other instructions in paragraph 27(i), chapter 7 of GFET-2018 are complied with. Authorized Dealers must observe extended due diligence, including KYC and AML/CFT standards, and verify the enforceability of repayment guarantees. These instructions are effective immediately.