BB updates export trade rules, expands digital trade, financing framework
New guidelines introduce digital trade documentation, alternative trade finance and dedicated foreign exchange rules for freelancers and service exporters.
Highlights
- New export trade guidelines to remain effective until 29 July 2027
- Framework introduces paperless trade and digital document processing
- Dedicated foreign exchange provisions added for freelancers and service exporters
- Alternative trade finance, including supply chain finance, brought under regulatory framework
The Bangladesh Bank has updated its consolidated export trade guidelines, introducing a range of new provisions to support digital trade, diversify trade finance and facilitate the country's growing services and e-commerce exports.
The central bank issued the revised export trade circular today (30 July), consolidating all export-related foreign exchange instructions into a single document while incorporating policy refinements to keep pace with evolving international trade practices.
Keep updated, follow The Business Standard's Google news channel
The 16-part circular places particular emphasis on paperless trade by introducing guidelines for the electronic presentation of export documents and a pilot framework for digital processing of trade documents under documentary collections and letters of credit through approved trade corridors.
It also introduces a regulatory framework for alternative trade finance, including Supply Chain Finance (SCF).
For the first time, the guidelines include a dedicated chapter on foreign exchange transactions for freelancers and individual service exporters, enabling faster receipt of export earnings through digital payment channels.
In addition, the updated framework expands provisions relating to open account exports, e-commerce and service exports, while retaining the existing rules governing export declarations, repatriation of export proceeds, exporters' retention quota (ERQ) accounts, exports from specialised economic zones, merchanting trade, counter-trade, entrepot trade and foreign currency-Taka swap facilities for exporters.
Business leaders welcomed the revised guidelines, saying the inclusion of digital trade documentation, alternative financing mechanisms and dedicated provisions for freelancers reflects the changing nature of Bangladesh's export sector.
However, they stressed that effective implementation, stronger digital infrastructure and capacity building for banks and exporters would be essential to fully realise the benefits of the new framework.
According to Bangladesh Bank, the revised circular will serve as the principal regulatory framework for export-related foreign exchange transactions until 29 July 2027.
