BB eases financing process of EDF

Bangladesh Bank (BB) has eased the process of Export Development Fund (EDF) to facilitate access to financing in foreign exchange for input procurements by manufacturer-exporters, reports BSS.

"To bring ease in operations of EDF, revised operational procedure prepared through compilation of existing instructions," said a BB circular Sunday.

Authorized Dealer (AD) banks can borrow US dollar funds from the EDF against their foreign currency loans to manufacturer-exporters for input procurements. At their option, the ADs can also lend to some extent from their own foreign exchange funds for input procurements.

The EDF is managed by the Forex Reserve and Treasury Management Department (FRTMD) at the head office of Bangladesh Bank. Borrowing by ADs from the EDF and repayments thereof are handled through head offices or principal offices of the AD banks concerned.