FEPD Circular No. 04 : Export Development Fund (EDF)

Foreign Exchange Policy Department Bangladesh Bank Head Office Dhaka. www.bb.org.bd FE Circular No. 04 Date: February 10, 2013 All Authorized Dealers of Foreign Exchange in Bangladesh Dear Sirs, Export Development Fund (EDF) Please refer to paragraph 5(b) of FE Circular No. 25, dated December 22, 2009 in terms of which Authorized Dealers (ADs) may borrow from EDF against their foreign currency loan to BTMA mills to make bulk import of raw cotton and other fibres against deemed exports.

2. It has now been decided that EDF loans will be available also to member mills of the Bangladesh Garments Accessories & Packaging Manufacturers & Exporters Association (BGAPMEA) making bulk import of raw materials for local deliveries of garment accessories to manufacturer-exporters against inland back to back LCs in foreign exchange. An EDF loan to an AD against their foreign currency financing of input imports of BGAPMEA member mills, shall not exceed (i) the value realized in foreign exchange against inland back to back LCs over the past twelve months, or (ii) USD 1.00 (one) million, whichever is lower.
3. Other instructions contained in FE Circular No. 25, dated December 22, 2009 and FE Circular No. 21, dated November 14, 2011 shall remain unchanged. Please bring the contents of this circular to the notice of all concerned. Yours faithfully, (Md. Golam Haider) Deputy General Manager Phone: 9530092