Regulatory Alerts2022-06-29
Added
FEPD Circular Letter No. 21: Settlement of loans against Export Development Fund (EDF)
Authorized Dealers in Bangladesh are advised to refrain from forwarding applications for Export Development Fund (EDF) loans to customers whose liabilities were settled through funded facilities in the immediate past 180 days. This directive addresses the observation that EDF loans were being settled without repayment from realized export proceeds by extending new funded facilities, a practice that does not ensure the export of goods. The instruction applies irrespective of the nature of imports and requires dealers to comply with existing rules mandating EDF loan settlement upon receipt of export proceeds, except for eligible bulk importers using local delivery proceeds.
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