BB extends payment period for raw material imports till December
Previously, this facility was set to expire in June of the current year, as per a BB circular issued today (30 June).
The Bangladesh Bank (BB) has extended the period for payment against imports of industrial raw materials from 180 to 360 days, maintaining this arrangement until December 2024.
Previously, this facility was set to expire in June of the current year, as per a BB circular issued today (30 June).
"To facilitate trade transactions, it has been decided to extend the policy support contained till December 31, 2024. The extended usance period will not be applicable for imports under EDF loans as earlier. Other relevant instructions shall remain unchanged," it added.
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The usance period is the time permitted by custom, between the date of the bill and its payment.
According to the central bank circular, the facility will be applicable in case of industrial raw material imports, including back-to-back imports, and imports of agricultural implements and chemical fertilisers under the buyer's credit.
Buyer's credit refers to the credit available to an importer from overseas lenders, such as banks and other financial institutions, for goods they are importing.
The extended usance period will not be applicable for imports under loans of the Export Development Fund, the circular added.
