RegAlertRule · BB · 3 May 2020
FEPD Circular Letter No. 19: Working capital loans from abroad by foreign owned/controlled companies
Foreign owned or controlled companies operating in Bangladesh may access short-term working capital loans from parent companies or shareholders abroad for a tenure of one year, extendable by another year, to pay three months of staff wages and salaries. This facility excludes companies that have already obtained loans or advances from the domestic banking system under BRPD Circular No. 07 of April 02, 2020. The measure is applicable until September 30, 2020.
Foreign Exchange Policy Department
Bangladesh Bank
Head Office
Dhaka www.bb.org.bd
FE Circular Letter No. 19 Date: May 03, 2020
Head offices/principal offices of all
Authorized Dealers in Bangladesh
Dear Sirs,
Working capital loans from abroad by foreign owned/controlled companies Please refer to FE Circular No 32, dated August 22, 2019 in terms of which borrowing of short term interest bearing loan by foreign owned/controlled companies is permissible from their parent companies/shareholders abroad.
02. Given the prevailing COVID-19 pandemic related disruptions, it has been decided that
foreign owned/controlled companies operating in Bangladesh irrespective of sectors may access short term working capital loans, for the tenure of one year extendable to another one year, from their parent companies/shareholders abroad to meet actual needs for payments of 3-month wages and salary to staff regardless of their length of engagement in manufacturing or services output activities. The facility will not be applicable for those companies availing loans/advances from domestic banking system in terms of BRPD Circular No. 07 of April 02, 2020 and its subsequent circulars/circular letters. Other relevant instructions regarding the transactions shall remain unchanged. Please bring the contents of this circular letter, applicable till September 30, 2020, to the notice of your concerned clientele. Yours faithfully, (Mohammad Khurshid Wahab) General Manager Phone: 9530123
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Lineage: Amended
A newer document in RegAlert amends this one; it applies as amended.
The links and the sentences they come from (2)
- Amended by
- FEPD Circular Letter No. 28: Working capital loans from abroad by foreign owned/controlled companies2020 · BB
“Working capital loans from abroad by foreign owned/controlled companies. Attention of Authorized Dealers is invited to FE Circular Letter No 19, dated May 03, 2020 regarding short term working capital lo”
- Issued under
- FEPD Circular No. 32: Working capital loans from abroad by foreign owned/controlled companies2019 · BB
“ealers in Bangladesh Dear Sirs, Working capital loans from abroad by foreign owned/controlled companies Please refer to FE Circular No 32, dated August 22, 2019 in terms of which borrowing of short”
Timeline
Amended 1 time · last 2020-07-29
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