BB eases commodity importing ahead Ramazan

The Bangladesh Bank has directed to scheduled banks to keep cash margin lowest on opening letter of credits (LCs) over importing 10 consumer products ahead of Ramazan.

It has said that the margin of the letter of credits (LCs) has to fix basis on the relations between the bank and the client over opening LCs on importing the commodities.

Besides, the central bank also advices the banks to give priorities on opening LCs importing these commodities to keep the supply normal.

The banking rules and regulations department of the central bank issued a circular over these directions and sent it to the managing directors (MDs) and chief executive officers (CEOs) of the scheduled banks on Sunday (November 8).

The circular read that the demands of rice, wheat, onion, pulses, edible oil, sugar, chicken peas, species and dates will be increased as the holy month of Ramazan is approaching.

As per the direction of the central bank, rice, wheat (atta, flour), onion, pulses, chicken peas, edible oil (palm and soybean), sugar, species and dates importing margin of LCs have to keep lowest instead of taking higher margins.

Besides, the central bank also directed the schedule banks to prioritize of opening LCs of these commodities over the other LCs to ensure adequate supplies of those commodity in the domestic market.

Bangladesh Bank noted that this directions have issued in the public interest using powers conferred under Section 85 of Bank Company Act, 1991.

The order takes effect immediately and will remain in force until March 15, 2027.