Bangladesh Bank has issued a new consolidated circular bringing together various foreign exchange regulations related to import trade in a bid to simplify procedures, reduce complexities in foreign currency transactions and make the rules timelier and more transparent.
The central bank issued the circular on Thursday, incorporating instructions issued over the past year into a single framework.
The new circular updates FE Circular No. 33, issued on August 14, 2025. All relevant instructions issued during the past year have been consolidated to provide importers and banks with the applicable foreign exchange regulations in one place.
With the issuance of the new circular, previous instructional circulars on the subject have been cancelled. However, existing reporting requirements related to imports will remain unchanged.
Issued under Section 20(3) of the Foreign Exchange Regulation Act, 1947, the consolidated instructions will remain effective for one year. Any new instructions issued during this period will be applied in conjunction with the consolidated framework.
The updated framework covers a wide range of import-related matters, including online reporting, letters of credit (LCs), authorised payment methods, advance payments, submission of bills of entry, supplier and buyer’s credit, settlement of import liabilities and back-to-back LCs.
It also includes provisions covering alternative trade financing arrangements, digital processing of import documents, retention of export proceeds for import payments, inland LCs in foreign currency, and regulations applicable to specialised and export processing zones.
The circular also outlines rules concerning the import of gold, silver, jewellery and foreign currency notes.
Business leaders have welcomed the central bank’s move, saying the consolidation of regulations will make import procedures easier and improve clarity for businesses engaged in international trade.
They particularly welcomed the inclusion of modern mechanisms such as digital document processing and alternative trade financing, saying these measures are aligned with the evolving requirements of Bangladesh’s international trade.
However, business representatives stressed that effective implementation at the field level will be crucial to ensuring the full benefits of the new framework. They also called for stronger digital infrastructure and capacity-building for banks and importers to ensure smooth implementation.
