The Bangladesh Bank (BB) has eased the issuance of back to back letter of credits (LCs) or usance LCs with realization clause for input procurements on behalf of exporters, reports BSS.
“It has now been decided that ADs may continue to issue back to back LCs/usance LCs with realization clause for input procurements on behalf of exporters,” said a BB circular on Sunday.
Prior to issuance of the circular, the facility was valid for the period up to December 31, 2020 which was extended to March 31, 2021.
According to the circular, other instructions with regards to import trade transactions will remain unchanged.