BRPD Circular No. 06: Payment of bills against Import L/C in due time

Ref No.: BRPD-DOPTM-11
Banking Regulation and Policy Department Bangladesh Bank Head Office Dhaka.

March 12, 2014
BRPD Circular No. 06 Date: ------------------ Falgun 28, 1420

Managing Director / Chief Executive All Scheduled Banks operating in Bangladesh.

Dear Sir,

Subject: Payment of bills against Import L/C in due time.

Complaints have been received at Bangladesh Bank regarding undesired delays by some scheduled banks in paying the value of bills against import Letters of Credit. As a result, the reputation of the country's banking system is being tarnished, and costs such as interest payments for delays and confirmation charges by foreign banks in the Letter of Credit are increasing, making foreign imports expensive. Such irregularities directly affect price levels adversely by increasing import costs, thereby disrupting public interest.

Therefore, under the powers conferred under Section 45 of the Companies Act 1991, you are hereby directed to complete the payment of the value of supplier bills against import Letters of Credit established by authorized dealer banks within the due time (15 days of receipt / 7 days of presentation). Failure to comply with these instructions will be liable for penalties under Section 109(7) of the Act.

Yours faithfully,

(Md. Anowarul Islam)
Deputy General Manager
Phone: 9530094