Regulatory Alerts2022-11-08
Added
FE Circular No. 30: Interest rate on borrowing from Export Development Fund (EDF)
Bangladesh Bank sets the interest rate on Export Development Fund loans to Authorized Dealers at 2.50% per annum, while Authorized Dealers must charge manufacturer-exporters 4.00% per annum. These rates apply to disbursements made on or after November 13, 2022. Instructions regarding other aspects of the Export Development Fund remain unchanged.
Foreign Exchange Policy Department Bangladesh Bank Head Office Dhaka. www.bb.org.bd FE Circular No. 30 Date: November 8, 2022 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. 17, dated July 20, 2022 in terms of which interest on EDF loans to Authorized Dealers (ADs) was charged by Bangladesh Bank at 1.50% pa, with the ADs charging at 3.00% pa on their USD loan disbursements to manufacturerexporters. 02. It has been decided that interest rate on EDF loans to ADs will be charged by Bangladesh Bank at 2.50% pa, while ADs will charge interest to manufacturer-exporters at 4.00% pa; effective for disbursements from November 13, 2022. 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