Dollars ready for imports, keep essentials' supply steady: BB governor tells biz leaders

Bangladesh Bank Governor Ahsan H Mansur assured the country's top business groups of adequate dollar support for opening import letters of credit (LCs), and urged them to ensure an adequate supply of essential commodities in the market to keep prices stable.

The governor made the call during a meeting at the central bank yesterday (22 September) with leaders of 20 major business conglomerates, including Bashundhara, Square, TK Group, Pran-RFL, Shwapno, Meghna, and Nabil.

Confirming the matter, Bangladesh Bank spokesperson Arif Hossain Khan told TBS that the governor also directed businesses to step up imports ahead of Ramadan, likely to begin in the second half of next February, to avert potential supply shortages.

He said, "The governor informed businesses that there are no restrictions on imports, and banks now have sufficient dollars. Businesses can import as per their demand. However, LC bills must be settled on time. Any delay creates pressure on banks and can also harm the country's credit rating with foreign banks."

A businessman present at the meeting, requesting anonymity, told TBS, "The business community placed two demands before the governor – removal of complexities in the import monitoring system and relaxation of the single borrower exposure limit on customers' LC loans."

"In response, the governor said that the LC monitoring system is actually beneficial for businesses, as it helps track international commodity prices and prevents trade-based money laundering. As for relaxing the single borrower exposure limit, banks will need to increase their capital base, which requires fresh capital investment from entrepreneurs," said the businessman.

After the meeting, Meghna Group Chairman Mostafa Kamal told reporters, "We discussed the current stock of essential goods, import needs, and supply challenges. The governor wants imports to increase without fueling inflation. He emphasised taking necessary measures based on market analysis."

Nabil Group Managing Director Aminul Islam Swapon said, "The governor assured full support to maintain market stability. We have promised to make every effort to keep food prices affordable ahead of Ramadan."

Sabbir Hasan Nasir, managing director of Shwapno, a subsidiary of ACI Limited, said, "The dollar market has been stable for quite some time, and there is currently no shortage. The Bangladesh Bank now aims to maintain reserves, bring inflation below 5% by ensuring a steady supply of commodities."

Bangladesh Bank spokesperson Arif Hossain said that the inflation target cannot be achieved if the supply of goods is disrupted. "That is why meetings with businesses have been held – to understand market conditions and challenges and to take necessary steps. Businesses have shared their concerns. The Bangladesh Bank will provide all kinds of support for the import of essential goods," he added.

He also said that there is currently no dollar shortage in banks. "On the contrary, the central bank is now buying dollars from the market.