International Trade Management: ESSENTIAL GUIDE FOR GLOBAL BUSINESS by Rashid AKM Haroon

Author:Rashid, AKM Haroon [Rashid, AKM Haroon]
Language: eng
Format: epub
Published: 2020-07-14T16:00:00+00:00

APPENDIX-III

BANGLADESH BANK

FOREIGN EXCHANGE REGULATION

(Few of the important regulation of central bank. Rules applicable for the business in Bangladesh only)

IMPORTS

C H A P T E R 7 - SECTION-I

1. Import of goods into Bangladesh is regulated by the Ministry of

Commerce in terms of the Import and Export (Control) Act, 1950,

through Import Policy Order (IPO) in force and Public Notices

issued from time to time by the Office of the Chief Controller of

Imports and Exports (CCI&E). The instructions contained in this

chapter apply to sales of foreign exchange or transfers to nonresident

taka accounts against import of goods into Bangladesh.

In terms of the Importers, Exporters and Indentors (Registration)

Order, 1981 no person can import goods into Bangladesh unless he

is registered with the CCI&E or exempted from the provisions of

the said Order. Before Letter of Credit Authorisation Form (LCAF)

is issued or Letter of credit (LC) is opened or remittance is made

for imports into Bangladesh the AD should verify that the importer

is registered with the CCI&E or otherwise exempted from such

registration. The AD should ensure that the registration number of

the importer is invariably furnished on the IMP form. Where the

importer is exempted from such registration, a suitable mention of

this fact should be made on the IMP form.

2. The ADs must ensure that they deal only with known customers

having a place of business in Bangladesh and can be traced easily

should any occasion arise for this purpose. Opening of LCs and

payments for imports into Bangladesh should be made through an

AD in the area where the holder of the LCAF is resident

(Appendix-4 lists the areas for foreign exchange regulation

purposes). In case the importer is a new customer, the AD should

obtain certificate from the AD through which the applicant

imported earlier to the effect that no bill of entry is due/overdue for

submission by the importer.

3(a). The ADs are authorised to issue 'Letter of Credit Authorisation

Forms' (LCAFs) in conformity with the IPO allowing imports into

Bangladesh. Import permits or clearance permits are not required for

imports by the Ministries and Government Departments against

specific allocation given to them by the government. But all

Ministries and Government Departments except the Ministry of

Defense shall duly submit LCAF to their nominated banks before

opening LC for the purpose of import. The LCAFs, available with

the ADs, are issued in sets of 5 copies each. Of these, the one marked

"For Exchange Monitoring Purpose" should be used for opening LC

and for effecting remittances. The ADs should be very careful about

compliance with the instructions of the IPO and relevant Public

Notices in the matters of issuance and disposal of LCAFs.

(b)(i) The ADs will not issue blank LCAFs to their clients. The

importer should himself/herself sign the LCAF in the presence of

an officer of the AD, an authorised official of the AD should put

his/her signature with date and seal on the LCAF, evidencing

verification of the importer's signature and import entitlement as

per current IPO.

(ii) In no case the ADs will accept authenticated LCAF for

opening LC direct from the parties. Normally the AD issuing and

authenticating an LCAF would also open the LC but if it requires

transfer to another AD this should be done directly by the

transferring AD itself.

Download

Copyright Disclaimer:
This site does not store any files on its server. We only index and link to content provided by other sites. Please contact the content providers to delete copyright contents if any and email us, we'll remove relevant links or contents immediately.