The Bangladesh Bank (BB) has extended the relaxation of several policies regarding import trade for six more months, until the end of December later this year.
Relaxing of the policies was extended to tackle the onslaught caused by the ongoing Covid-19 pandemic, according to a circular issued by the central bank's foreign exchange policy department on Thursday.
Under the policy support, raw materials, agricultural implements, and chemical fertilizers can be imported for 360 days instead of 180 days under supply or buyer’s credit schemes.
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Additionally, advance import payments of up to $500,000 can be made without repayment guarantees or approval from the central bank on the import of Covid-related life-saving drugs, medical kits/equipment, and other essential medical items.
It also stated that for additional time in settlement of import payments, separate permission to extend the validity of LCAF will not be required.
Since its conception, both exporters and importers said the policies had helped them to sustain trade during the ongoing pandemic situation, and the extension is expected to continue to do so.
The BB extended policy support till December 31 to cope with the ongoing second wave of the pandemic, said one of its top officials.