Regulatory Alerts2022-03-02
Added
FEPD Circular Letter No. 09: Payment in foreign currency against local supply of goods under international tender
Paragraph 35 of Chapter 7 of the Guidelines for Foreign Exchange Transactions (GFET)-2018 is amended to authorize Authorized Dealers to establish letters of credit in foreign currency for local contractors executing work orders under international tenders. These foreign currency letters of credit must be settled through the bank's foreign currency clearing accounts maintained with Bangladesh Bank. The amendment permits the retention of foreign exchange received for up to thirty days to settle the client's import payment obligations as specified in paragraph 42(ii) of the same chapter.
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