Banks asked to relax LC margin rate for lubricant imports
The central bank has asked all commercial banks to relax the opening margin rate of letter of credit (LC) against the import of lubricants in a move to ensure uninterrupted power generation and industrial operations across the country.
Bankers can fix the margin rate based on their relationship with customers bypassing the existing margin rate of 75%, reads a circular issued by the Bangladesh Bank's Banking Regulation and Policy Department on Thursday (22 December).
The circular stated that the LC margin can be relaxed for lubricants as well as the goods required for its production to keep the market supply normal, industrial activities running and power generation uninterrupted.
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