ANNOUNCEMENT 24 Aug 2014In August 2014, the government of Bangladesh announced a change in import formalities.
NUMBER OF INTERVENTIONS
On 24 August 2014, the Bangladesh Bank published Circular No. 31 liberalising short-term external financing requirements for raw material imports of various agricultural processors. The benefiting raw materials and processors include (i) unrefined edible oil and oil seeds for refiners and millers, (ii) crude sugar for refiners, and (iii) unground wheat for flour mills.
An earler Circular No. 22 (see related measure) had put a requirement for quarterly repayment terms for all external financing of imports where either the financing period exceeded 6 months or the trade value exceeded USD 1 million.
The current measure removes the USD 1 million cap and therefore all such external financing for the above mentioned goods is exempt from the quarterly repayment requirement if the financing period is less than 6 months, regardless of the quantum of trade.