BRPD Circular Letter No. 49: L/C Margin on Import Financing

The Bangladesh Bank directs all scheduled banks to maintain a minimum cash margin for import letters of credit for edible oil, chickpeas, lentils, peas, onions, spices, sugar, and dates, set at a level sufficient to cover price fluctuations during the upcoming holy month of Ramadan. This directive amends the margin requirements specified in BRPD Circular Letter No. 25 dated July 4, 2022, while keeping all other instructions in that circular unchanged. The instructions are effective immediately and remain in force until further notice.

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Bangladesh Bank
Chief Executive Office
Motijheel, Dhaka-1000
Bangladesh.
Ref No.: BRPD
Banking Regulation and Policy Department
December 11, 2022
BRPD Circular Letter No. 49 Date: ------------------ 26 Agrahayan 1429 Managing Director / Chief Executive Officer All Scheduled Banks operating in Bangladesh. Dear Sir, Regarding the maintenance of cash margin in the establishment of import letters of credit.

You are requested to refer to BRPD Circular Letter No. 25 dated July 4, 2022, on the subject matter above.
In order to ensure adequate supply of the aforementioned commodities (edible oil, chickpeas, lentils, peas, onions, spices, sugar, and dates) at affordable prices during the upcoming holy month of Ramadan, instructions are given to maintain a cash margin for the establishment of import letters of credit for these commodities at a minimum level sufficient to cover price fluctuations, based on the bank-customer relationship.
In addition, all other instructions of BRPD Circular Letter No. 25/2022 shall remain unchanged.
These instructions are issued under the powers conferred by Section 45 of the Bank Company Act, 1991.
These instructions shall take immediate effect and remain in force until further instructions are issued.

Yours faithfully,
(Maksuda Begum)
Director (BRPD)
Phone: 9530252

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Lineage: In force

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This document amends: BRPD Circular Letter No. 25: L/C Margin on Import Financing

Source: Bangladesh Bank — original document · Summary generated with machine assistance and reviewed before publication; the authoritative text is the regulator's original document. How RegAlert works