Regulatory Alerts2023-02-01
Added
FE Circular No. 02: Interest rate on borrowing from Export Development Fund (EDF)
Bangladesh Bank sets the interest rate on Export Development Fund loans to Authorized Dealers at 3.00% per annum, while Authorized Dealers must charge manufacturer-exporters 4.50% per annum. These rates apply to disbursements until further instructions are issued. Previous instructions regarding the EDF remain unchanged.
Foreign Exchange Policy Department Bangladesh Bank Head Office Dhaka. www.bb.org.bd FE Circular No. 02 Date: February 01, 2023 All Authorized Dealers in Foreign Exchange in Bangladesh Dear Sirs, Interest rate on borrowing from Export Development Fund (EDF) Please refer to paragraph 2 of FE Circular No. 30, dated November 08, 2022 in terms of which interest on EDF loan disbursements to Authorized Dealers (ADs) was charged by Bangladesh Bank at 2.50% pa, with the ADs charging at 4.00% pa on their USD loan disbursements to manufacturer-exporters. 02. It has been decided that interest rate on EDF loans to ADs will be charged by Bangladesh Bank at 3.00% pa, while ADs will charge interest to manufacturer-exporters at 4.50% pa; for disbursements until further instructions. Other relevant instructions on EDF shall remain unchanged. Please bring the contents of this circular to the notice of your relevant customers. Yours faithfully, (Md. Sarwar Hossain) Director (FEPD) Phone: 9530123