BB takes more steps
Bangladesh Bank yesterday issued four notices centring the ongoing global pandemic, including one instructing banks to accept advance payments of up to $500,000 from businesses seeking to import COVID-19-related lifesaving drugs and essential medical items, including kits and equipment.
Global drug companies are now refusing to export such items if the payments are not made in advance, said a central bank official.
That is why the central bank eased the rules, which will be applicable until September 30 this year.
Importers are usually allowed to make advanced payments of a maximum of $10,000 for the import of general items, including raw materials meant for industrial purposes and consumer goods.
In the second notice, the central bank increased from six months to one year the timeframe within which businesses are to make import payments.
This timeframe relaxation aims to cushion the enterprises from the ongoing financial crisis stemming from the coronavirus pandemic.
Many exporters have already imported a good amount of raw materials to produce items meant for export, said a central bank official.
But they are facing hurdles when attempting to export their products in the wake of decreasing global demand.
Against this backdrop, the central bank increased the duration within which import payments have to be made so that the businesses do not become defaulters.
This instruction will also be applicable until September 30.
In the third notice, the central bank instructed banks to organise meetings of their respective board of directors through video conference with a view to tackling the community transmission of coronavirus.
Executive, audit and risk management committees of the respective bank boards will have to follow the instruction.
Every director who attends board meetings through video conference will get their required honorarium.
Moreover, the footages of video conferences will have to be preserved.
In the last notice, the central banks asked banks to suspend any training programmes in which the number of participating officials is more than 10.
Banks will be allowed to organise only those training programmes in which the number of attendees is a maximum of 10.
Even so, in such instances the banks will have to follow the associated rules that the World Health Organisation has regarding the arrangement of seats.
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