Time extended for banks to collect funds from offshore units till June
The central bank has extended the deadline for the commercial banks to collect funds from their offshore banking operations to settle import payments for capital machinery, industrial raw materials and other imports by the government till June this year.
As per the policy, banks can collect an amount equivalent to 25% of their regulatory capital from offshore banking units.
The policy introduced in June last year was in effect till 31 December 2022 before the new extension, said the Bangladesh Bank in a circular yesterday.
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A senior Bangladesh Bank official told TBS that the policy allows banks to collect dollars from offshore banks, which provides some support to the ongoing greenback crisis.
On condition of anonymity, the head of the treasury department of a private bank told TBS, "Foreign banks often provide liquidity support to our banks, but such a solution is temporary."
