FEPD-1 Circular No. 02: Export under usance terms backed by payment undertaking or payment risk coverage from local insurance companies

Foreign Exchange Policy Department-1 Bangladesh Bank Head Office Dhaka www.bb.org.bd FEPD-1 Circular No. 02 Date: January 06, 2026 All Authorized Dealers in Foreign Exchange in Bangladesh Export under usance terms backed by payment undertaking/ payment risk coverage from local insurance companies Dear Sirs, Please refer to FE Circular No. 39, dated October 07, 2025 in terms of which Authorized Dealers (ADs) are allowed to arrange payment undertaking/payment risk coverage available from insurance companies operating in Bangladesh, inter alia for export under open account credit terms. 02. To further widen the scope of export facilitation, it has been decided that payment undertaking/payment risk coverage from insurance companies operating in Bangladesh may also be used for exports under usance terms on documentary collection. Accordingly, the relevant provisions of FE circular No. 39/2025 shall be applicable for such export transactions. As usual, other relevant instructions on exports shall remain unchanged. Please bring the contents of this circular to the notice of all concerned. Yours faithfully, (Md. Harun-Ar-Rashid) Director (FEPD-1) Phone: 9530123