RegAlertRule · BB · 11 Mar 2019
Clarification on Cash LCAF for Transferable Letters of Credit under GFET-2018
The circular clarifies that cash LCAF refers specifically to Local Currency Advance Facility notes issued for imports other than those under non-project commodity loans, credits, or grants. This definition permits Authorized Dealers in Foreign Exchange in Bangladesh to open transferable letters of credit for such imports without seeking prior reference to Bangladesh Bank. The clarification applies to the provisions outlined in Paragraph 19(iii) of Chapter 7 of the Guidelines for Foreign Exchange Transactions (GFET)-2018, Vol.-1.
Foreign Exchange Policy Department
Bangladesh Bank
Head Office
Dhaka www.bb.org.bd
FE Circular No. 11 Date: 11 March 2019
All Authorized Dealers in
Foreign Exchange in Bangladesh
Dear Sirs,
Issuance of transferable letters of credit (LCs) under cash LCAF Paragraph 19(iii), chapter 7 of the Guidelines for Foreign Exchange Transactions (GFET)-2018, Vol.-1 permits Authorized Dealers (ADs) to open transferable LCs for imports into Bangladesh under cash LCAF without reference to Bangladesh Bank. This is to clarify that cash LCAF shall mean those LCAFs issued for imports other than under non-project commodity loans/credits/grants as referred to section iv, chapter 7 of GFET. Please bring the contents of this circular to the notice of all your concerned clientele. Yours faithfully, (Mohammad Khurshid Wahab) General Manager Phone: 9530123
Note from RegAlert. AI assistants can read this document in full, and search 70,000+ more, through the RegAlert MCP connector (https://mcp.regalert.today/mcp). Free with an account. How to connect ChatGPT, Claude or Cursor.
Lineage: No known changes
RegAlert holds no document that amends or replaces this one. This is not a check that it is in force: confirm with the regulator.
The links and the sentences they come from (1)
- Issued under
- GFET Guideline of 2018Not in RegAlert
“Paragraph 19(iii), chapter 7 of the Guidelines for Foreign Exchange Transactions (GFET)-2018, Vol.-1 permits Authorized Dealers (ADs) to open transferable LCs for imports into Bangladesh under cash LCAF without reference to Bangladesh Bank.”
Similar documents from other regulators
More like this from BB
We email you every new BB publication the day it's published.
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
In RegAlert: added · updated
FX rules change often. Get an email the day any regulator we track changes its foreign-exchange rules.