FEPD Circular No. 23: Discounting of direct and deemed export bills in foreign exchange out of own sources

Foreign Exchange Policy Department Bangladesh Bank Head Office Dhaka www.bb.org.bd FE Circular No. 23 Date: 21 June 2020 All Authorized Dealers in Foreign Exchange in Bangladesh Dear Sirs, Discounting of direct and deemed export bills in foreign exchange out of own sources Please refer to paragraph 25, chapter 8 of the Guidelines for Foreign Exchange Transactions-2018, Vol-1 (GFET) read with Circular Letter No. 19, dated 7 August 2019 in terms of which Authorized Dealers (ADs) are allowed to arrange fund for discounting usnace export bills in foreign exchange through their correspondent banks, financial institutions abroad or international financing institutions. 2. To facilitate the transactions, it has been decided that ADs may discount usance export (direct and deemed) bills in foreign exchange out of their own sources provided that the fund is not committed for otherwise use. Other instructions including cost to exporters in terms of FE Circular No. 19 dated 5 May 2019 shall remain unchanged. Please bring the contents of this circular to the notice of all concerned. Yours faithfully, (Mohammad Khurshid Wahab) General Manager Phone: 9530123