Dhaka, Bangladesh (BBN) - The central bank of Bangladesh has defined an agent as a person engaged to act for or to represent another person or firm in dealings with business concerns to facilitate foreign trade.
"We've already issued a circular in this connection to make the definition of agent clearer," a senior official of the Bangladesh Bank (BB), the country’s central bank, said, adding that the BB issued the circular in line with the Regulatory Reforms Commission's advice.
Under the existing foreign exchange regulation act, permission of the BB is required for any person, which includes individuals, firms, business organizations or concerns incorporated or not, to accept an appointment to act as an agent in trading and commercial transactions or as a technical or management adviser of any person resident outside Bangladesh or of a person resident in Bangladesh but not citizen of the country.
"For the purpose of the section the definition and role of an agent will be the same as in the contract act 1872," the BB official said.
"We thank the central bank for defining the term of agent although it has been done after so many years, President of the Bangladesh Indenting Agents' Association Shabbir Ahmed Khan said.
Mr. Khan also urged the government to repeal the act for facilitating smooth transactions of business in foreign exchange in this era of globalization.
In South Asia, India has already enacted foreign exchange management act instead of the foreign exchange regulation act and Pakistan repealed the act totally, he noted.
BBN/SS/SI/AD-01August09-12:48 am (BST)