Minimum LC margin or LC zero margin has been allowed for importing essential commodities to meet consumption demands for next Ramadan, said Commerce Minister Tipu Munshi on Wednesday. But because of LC opening other businesses will not suffer, he said. Later, buyers can pay the dues of the commodities after 6 months as per the rules, he added. “Dollars are being supplied as per the market situation in terms of imports. However, for remittance payment the amount is not given less,” he said. The minister said the prices of pulses, oil and sugar, which need to be imported, have increased slightly following increase in the global market. Read more: E-commerce has a billion-dollar prospect in Bangladesh: Tipu Munshi But the prices of agricultural products in the country are low and may stay stable for the next two to three months, he added. He said the prices of imported goods have increased because of higher dollar rates. In line with the dollar rates the prices of those goods are being fixed. That’s why the inflation remained under control compared with other countries, he said. The minister said that the purchasing power of the people is limited. So, as long as it is necessary, one crore families will be provided with essential commodities at subsidized prices through TCB (Trading Corporation of Bangladesh). He said that Prime Minister Sheikh Hasina has asked all to be economic to check the cost of imports. About 40 percent electricity consumption of the country has been reduced through special initiatives. Currently, the difference between the import and export volume has narrowed. Dollars are being saved by reducing imports of luxury goods. On Tuesday, Bangladesh Bank has allowed 8 essential commodities “usance term” (credit for suppliers/buyers) to meet consumption demands for next Ramadan. Read more: LCs under scanner to check money laundering: Tipu Munshi The foreign exchange policy department of Bangladesh Bank on Tuesday issued a circular on 90-day credit facility for suppliers/buyers of these commodities with immediate effect. This facility will remain applicable for the initiation of imports till March 31, 2023. Traders got the opportunity to import edible oil, chickpeas, pulses, peas, onions, spices, sugar, and dates under 90 days of suppliers'/buyers' credit.

Prime Minister’s Private Industry and Investment Adviser Salman F Rahman has emphasized on diversification of exports and reducing imports to stabilize the currency's depreciating trend. He was speaking at a business luncheon meeting organized by Bangladesh-Malaysia Chamber of Commerce and Industry at a city hotel on Sunday. Salman said the austerity measures initiated by the government and the central bank to rein in a bullish trend of import since the beginning of the second half of last fiscal year are paying dividends as import costs have shrunk to $6 billion from over $8 billion a month. “It [imports] used to be $8 billion a month, which came down to $7 billion last month and $6 billion this month. I believe our issues will be resolved pretty soon," he said. Salman said the prime minister took proactive initiatives to protect the economy in pandemic times and she did the same when the dollar prices began skyrocketing. Read: Govt to provide financial support to ensure compliance in industries: Salman F Rahman "Alongside, Bangladesh Bank has taken initiatives to reduce imports at the right time." "When this government came to power we have about 4 thousand MW capacity in electricity but now it has become 22 thousand MW which reveals our potent energy situation. Though we now have a better situation to attract the FDI and I also admit there is room for development,” he says. The policies that make RMG a successful enterprise have to be replicated in other sectors," he added. Dr. Selim Raihan, Executive Director of South Asian Network on Economic Modeling (SANEM) presented the keynote speech on “Anatomy of a Macroeconomic Crisis”. "We shouldn’t call the situation a crisis rather we say it is a challenge," he added. "Yes, our foreign reserves have some pressure but we need not be compared with other countries like Srilanka and Pakistan as our economic base is more stable and stronger." President of FBCCI Md. Jashim Uddin were present on the occasion as special guest while Haznah Md Hashim, Malaysian High commissioner to Bangladesh was present as a guest of honor. Jashim Uddin says that the Bank shouldn’t impose higher interest to stabilize exchange rate, because the SME and other business can be demoralized and fall into distress. Read: Sufiur Rahman appointed Bangladesh envoy to Switzerland Malaysian High commissioner to Bangladesh Haznah Md. Hashim thanked BMCCI to organize this well-timed seminar on burning issues. "As a brotherly nation and important trade and business associate, Malaysia will continue to support Bangladesh with all its strength as far as our bilateral bond become strong," she said. At the beginning BMCCI President Syed Almas Kabir said BMCCI "powerlunch" aimed for macroeconomic analysis which broadly focus on the current economic situation and inform us the overall health of economy a comprehensive view of the recent global financial crisis within a framework and the factor concerning our monetary and fiscal policy for crisis management. At the end of the programme, CEO of Robi Axiata Ltd. and as a Vice President of BMCCI Riyaaz Rasheed thanked all and expressed his gratitude being a part of this grand event.  

Bangladesh Reconditioned Vehicles Importers and Dealers Association (BARVIDA) called on the government to withdraw tax on microbus as it is widely used for public transportation and has a significant impact on urban and rural life. Secretary General of the organization Mohammad Shahidul Islam made this call at the post-budget press conference held in BARVIDA office Wednesday. Mohammad Shahidul Islam said they wanted the government to provide the 45% depreciation benefit on reconditioned cars and a year-round depreciation benefit but it was not included in the budget. He urged the government to consider their proposal and include the depreciation benefit to the budget. In this conference BARVIDA sincerely thanked the Prime Minister and Finance Minister for preparing a new budget amid pandemic that includes reduced tariffs on imports of microbuses and hybrid cars and jeeps. Read Top Insurance Companies in Bangladesh in 2021 They also praised the government for recognizing microbuses as public transport and discouraging unsafe transport like Nasimon, Laguna, etc. Quoting Japan International Cooperation Agency (JICA), BARVIDA leaders mentioned that the establishment of a new car industry in the country would be reasonable only if the domestic market for the car is 1 lac units. They pointed out that in some cases, the price of a reconditioned car gets higher than that of a new car due to extreme inequality in the tariff. As a result, buyers are declining, importers are declining and traders in the sector are facing a severe financial crisis. Also read: The World's 10 Self-made Youngest Billionaires in 2021 BARVIDA also called on the government to ensure that no attempt is made to establish a "screwdriving industry" by importing CKDs (Complete Knock Down) in the name of establishing a new industry. They urged the government to do its utmost ensuring that the country's long-established reconditioned car import sector is not harmed in any way at the free market economy. Abdul Haq, President of the Association along with the executive members and general members of the organization were present at the conference.

The United States has granted Iraq a 45-day sanctions waiver enabling the country to continue importing vital Iranian gas and electricity supplies.