The Bangladesh Bank (BB) has approved delayed payments for the import of 11 essential food items, including sugar, ahead of the holy month of Ramadan.
The products covered by this decision are sugar, rice, wheat, onions, pulses, edible oil, eggs, chickpeas, peas, spices, and dates.
On November 11, the Foreign Exchange Policy Department of BB issued a circular, instructing banks to implement the measure immediately. The notification stated, “In order to maintain the price at a reasonable level and smooth supply of necessary food items during the holy month of Ramadan, it has been decided to allow import of rice, wheat, onion, pulse, edible oil, sugar, egg, chickpea, pea, spices and dates on usance terms on up to 90 days under supplier’s or buyer’s credit.”
This measure is aimed at facilitating imports and easing the financial burden on traders, as demand for these products typically surges in the run-up to Ramadan. The facility will remain in place until March 31, 2025.
Additionally, on November 6, the central bank had relaxed the earlier requirement for a 100% margin for letters of credit (LCs) on imports. Under the new policy, the margin will now be determined based on the relationship between the customer and the bank.
