Dhaka, Bangladesh (BBN)- The central bank has removed the Letter of Credit (LC) margin on all types of imports, except luxury goods and goods which are also produced domestically in Bangladesh aiming to boost the country's businesses as well as industrialization.
From now on, traders can import all types of capital machinery, consumer goods and raw materials on the basis of bank-customer relationship without any LC, according to a notification, issued by the Bangladesh Bank (BB), on Thursday.
Such instructions have been given to speed up the country's business-industry-trade as the foreign currency exchange rate and transactions have gradually reached a stable level, the BB in the notification.
However, importers will still have to pay 100 per cent to open LCs for several luxury goods and import substitutes.
These included motor cars (sedans, SUVs, and MPVs), electrical and electronics, home appliances, gold and jewellery, valuable assets and pearls, ready-made garments, leather goods, jute products, toiletries, furniture, fruits and flowers, non-cereal food, processed food, alcohol, and tobacco.
BBN/SSR/AD