Regulatory Alerts2021-07-13
Added
FE Circular No. 25: Export trade transactions, appropriate safeguards
Authorized Dealers in Foreign Exchange in Bangladesh must observe specific safeguards before executing export trade transactions, including facilitating letters of credit routed through authenticated channels from banks with established relationships. These institutions are required to verify the authenticity and bonafide status of applicant, issuing, and transferring banks, as well as satisfy themselves regarding the bonafide of foreign importers and the procedural responsibilities of designated importers' banks. In cases of execution difficulties or doubts, Authorized Dealers must guide exporters to take appropriate measures, such as changing designated banks, utilizing external payment guarantees, or making other suitable arrangements.