Ceiling against borrowing from Export Development Fund (EDF)

Foreign Exchange Policy Department Bangladesh Bank Head Office Dhaka. www.bb.org.bd FE Circular No. 06 Date: April 09, 2023 All Authorized Dealers in Foreign Exchange in Bangladesh Dear Sirs, Ceiling against borrowing from Export Development Fund (EDF) Please refer to FE Circular No. 45, dated December 31, 2017 in terms of which Authorized Dealers (ADs) can borrow US Dollar funds from EDF against their foreign currency loans to manufacturer-exporters for input procurements. Eligible limit for borrowing from EDF for eligible exporters is outlined at paragraph 5 of the said circular and its subsequent amendments. 02. To bring wider range of customers for EDF loans, it has been decided to reset the ceiling to USD 10.00 million from USD 15.00 million for input procurements under back to back LCs (BBLCs) against relevant export orders. The limit for imports under BBLCs by individual member mill of BGMEA and BKMEA is set at USD 20.00 million and USD 15.00 million respectively, including USD 15.00 million for individual exporter of leather goods and footwear sectors. In addition, the maximum eligible limit for bulk imports by member of eligible associations is revised as under: Sl. No. Name of associations Maximum limit 01. BTMA USD 20.00 million 02. BDYEA USD 10.00 million Other relevant instructions on EDF shall remain unchanged. Please bring the above instructions, effective immediately, to the notice of your relevant customers. Yours faithfully,

(Md. Sarwar Hossain) Director (FEPD) Phone: 9530123