BB eases rules for power import payments
Bangladesh Bank has relaxed regulations for power import payments, allowing authorised dealer banks to make outward remittances for power purchases under government-approved cross-border arrangements without seeking prior case-to-case approval from the central bank.
In a circular issued today (28 October), the central bank said the move aims to streamline and facilitate smooth payments for power imports transmitted through the national grid under bilateral agreements approved by the government.
Under the new directive, banks may make remittances to foreign beneficiaries for electricity purchased from abroad, subject to several conditions.
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The circular also said that banks need to adhere to the provisions of foreign exchange regulations, including compliance with KYC norms, AML/CFT standards, along with routine reporting to the Bangladesh Bank.
Additionally, where power purchase transactions require customs formalities, payments will be permitted following the standard import procedure, the circular added.
