FEPD Circular No. 01: Extended facilities for trade transactions

Foreign Exchange Policy Department Bangladesh Bank Head Office Dhaka www.bb.org.bd FE Circular No. 01 Date: January 06, 2022 All Authorized Dealers in Foreign Exchange in Bangladesh Dear Sirs, Extended facilities for trade transactions Attention of Authorized Dealers (ADs) is invited to FE Circular Nos. 19 and 20 of June 07, 2021 and June 10, 2021 respectively and relevant other circulars regarding extension of policy supports till December 31, 2021.

2. External trade activities of the country are found changing gears to pick up. To facilitate smooth transition, it has been decided to continue extended supports for trade transactions of the following counts: (a) Usance period for imports of industrial raw materials including back to back imports, and imports of agricultural implements and chemical fertilizers under supplier’s/buyer’s credit as per paragraph 33(a)(ii) and 33(a)(iv), chapter 7 of the Guidelines for Foreign Exchange Transactions-2018, Vol.-1 may be extended up to 270 days. (b) The Export Development Fund (EDF) limit for individual member mills of BTMA and BGMEA will be USD 30 million instead of USD 25 million. As usual, extension of EDF loan for a period of 90 days up to 270 days as per paragraph 3 of FE Circular No. 45 of December 31, 2017 shall remain applicable.
3. The above supports shall remain valid for the respective transactions till June 30,
4. Before allowing the supports to customers, ADs need to be ensured of actual underlying needs for the situation. As usual, relevant instructions regarding trade transactions shall remain unchanged. ADs are advised to bring the contents of this circular to the notice of their customers. Yours faithfully, (Kazi Rafiqul Hassan) General Manager Phone: 9530123