BUILD lauds extension of relaxed forex rules across sectors

Business Initiative Leading Development (BUILD), a platform for public-private dialogue, on Thursday lauded the central bank’s decision to extend relaxed foreign exchange regulation facilities for exporters across sectors till the end of this fiscal.

Bangladesh Bank, in a circular on Wednesday, said that all exporters will be allowed a maximum of 210 days to bring their proceeds into the country, a step taken in the wake of the Covid-19 pandemic. This extension will remain effective until March 31 next year.

In its earlier circular issued on July 23, only readymade garment exporters and those in the textile sector were given the opportunity to avail the facility.

In the 7th Financial Sector Development Working Committee (FSDWC) meeting of BUILD held on August 7, 2019, a study named ‘Financing Schemes and Available Credit Facilities for Export Competitiveness of Bangladesh’ was presented.

The study focused on creating a level-playing field for all the exporters of the country to strengthen the competitiveness of the export-oriented private sectors. In the study, BUILD suggested a specific recommendation to ease trade processes and assist the exporters through stimulus packages.

Exporters have been facing problems in repatriating their export proceeds in time amid the ongoing pandemic. Several foreign buyers are reportedly unable to make their payments against imported items from Bangladesh.

The non-RMG exporters, as a result, are facing problems to realise the trade proceeds, according to BUILD.

It is believed the extension of the tenure of realisation of export proceeds to March 2021 for all sectors will help the exporters of the country to revive amid the Covid-19 induced crisis, BUILD said.

Source: United News of Bangladesh