Fruit imports get easier as Bangladesh Bank lifts 100% cash margin rule
The move comes as foreign exchange conditions stabilise, with the central bank expecting improved supply and more affordable prices for consumers.
Fruit imports will become easier after Bangladesh Bank withdrew the mandatory 100% cash margin requirement for letters of credit (LCs), a move expected to improve supply and ease prices in the local market.
The central bank issued the directive to all banks today (16 August), allowing importers to negotiate LC margins with their respective banks based on their banking relationship.
The decision was taken as the country's foreign exchange market and transactions have returned to desired levels of stability, according to Bangladesh Bank.
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In a circular, the central bank said fruits are an essential part of the daily diet of children, patients, elderly people and pregnant women.
Easing import conditions would help create a more competitive market and make fruits more affordable for consumers, it said.
Bangladesh Bank had imposed a 100% cash margin requirement on fruit imports, along with certain luxury and import-substitute goods, in September 2024 amid global economic uncertainty.
While the requirement has now been withdrawn for fruit imports, the 100% cash margin condition for other luxury goods will remain in place.
The central bank expects the move to help ensure a steady supply of imported fruits and prevent price pressures in the domestic market.
