Import on back-to-back LCs in RMG sector jumps in December
Mohammed Badrul Ahsan :
The settlement of LCs (letter of credit), or actual import payments, increased significantly in December last year as the import on back-to-back LCs in the readymade garment sector mainly jumped, a high official of central bank said.
According to Bangladesh Bank (BB) data, settlement of LCs for back-to-back import products of the RMG sector in December of 2016 increased to $630.70 million from $548.13 million in November of the year.
The BB official said that the businesspeople had recently started to import industrial raw materials as the political unrest had eased in recent months.
The BB data, however, showed that the import of capital machinery decreased to $292.40 million in December of 2016 from $319.10 million in November.
The official said that the businesspeople were yet to start setting up new industrial units as the country earlier had faced major political unrest in recent years.
He, however, hoped that the import of capital machinery might increase in the months to come if the existing eased situation in the political zone continued.
Besides, the import of capital machinery will increase in the coming months as the government started to import the items to speed up the construction process of the Padma Multipurpose Bridge, he said.
Some importers have recently settled LCs for the capital machinery to set up power plants, he added.
The import of petroleum products decreased to $169.36 million in December from $306.52 million in November last year.
The BB official said that the import payment for petroleum products decreased as the prices of the commodities had been declining on the global market for a long period.
The BB data showed that opening of LCs posted a growth of 7.63 percent in December against 6.69 percentin November of last year.
The total value of the LCs opened in the country in December 2016 was $4.70 billion while it was $4.37 billion in November last year.
Meanwhile, the country’s total import payments registered a 9.27-percent growth during the period against the 17.84-percent growth posted in the previous month.
According to the latest BB data, letters of credit involving $4.12 billion were settled in December against LCs worth $3.77 billion settled in November.
The year-on-year import payments in December also increased by 25.68 percent to $4.12 billion from $3.28 billion in the corresponding period a year ago.
The settlement of LCs (letter of credit), or actual import payments, increased significantly in December last year as the import on back-to-back LCs in the readymade garment sector mainly jumped, a high official of central bank said.
According to Bangladesh Bank (BB) data, settlement of LCs for back-to-back import products of the RMG sector in December of 2016 increased to $630.70 million from $548.13 million in November of the year.
The BB official said that the businesspeople had recently started to import industrial raw materials as the political unrest had eased in recent months.
The BB data, however, showed that the import of capital machinery decreased to $292.40 million in December of 2016 from $319.10 million in November.
The official said that the businesspeople were yet to start setting up new industrial units as the country earlier had faced major political unrest in recent years.
He, however, hoped that the import of capital machinery might increase in the months to come if the existing eased situation in the political zone continued.
Besides, the import of capital machinery will increase in the coming months as the government started to import the items to speed up the construction process of the Padma Multipurpose Bridge, he said.
Some importers have recently settled LCs for the capital machinery to set up power plants, he added.
The import of petroleum products decreased to $169.36 million in December from $306.52 million in November last year.
The BB official said that the import payment for petroleum products decreased as the prices of the commodities had been declining on the global market for a long period.
The BB data showed that opening of LCs posted a growth of 7.63 percent in December against 6.69 percentin November of last year.
The total value of the LCs opened in the country in December 2016 was $4.70 billion while it was $4.37 billion in November last year.
Meanwhile, the country’s total import payments registered a 9.27-percent growth during the period against the 17.84-percent growth posted in the previous month.
According to the latest BB data, letters of credit involving $4.12 billion were settled in December against LCs worth $3.77 billion settled in November.
The year-on-year import payments in December also increased by 25.68 percent to $4.12 billion from $3.28 billion in the corresponding period a year ago.
