ANNOUNCEMENT 15 Dec 2013In December 2013, the government of Bangladesh announced a change in its trade finance instruments.
NUMBER OF INTERVENTIONS
On 15 December 2013, the Bangladesh Bank issued FE Circular No. 15 reducing the interest rate authorized banks charge from exporters on their borrowings from the Export Development Fund from six month LIBOR + 2.5% to six month LIBOR + 1.5%. The rate is applicable for disbursements made until 6 months from the date of the Circular.
The Export Development Fund provides access to foreign exchange through low interest rate loans to export goods manufacturers. The loans shall be used to procure imported inputs.