Bangladesh Bank on Monday issued a circular facilitating export of goods from Bangladesh using the banking channel against customers’ online orders from abroad.
As per the BB circular, banks would be allowed to work as authorised dealers for such export up to $5,000 in a single transaction.
e-Commerce Association of Bangladesh general secretary Wahed Kamal Tomal told New Age, ‘We have placed such proposal before the authorities concerned and the acknowledgment of the demand by the central bank would help boost the e-commerce sector in the country.’
It would open a big avenue for the e-commerce entrepreneurs, Tomal said.
According to the BB circular, in order to promote business-to-consumer export by hosting goods on e-commerce web site accessible through internet to foreign buyers, it has been decided that authorised dealers may provide acquiring services to eligible exporters for repatriation of export proceeds against sales orders of exportable goods received on e-commerce web sites.
The ADs must have merchant agreement with the exporters having necessary arrangement for safe internet transactions, it said.
The facility will only be available for small value export of value in cost and freight term not exceeding $5,000 per transaction, the BB instruction said.
Upon receipt of the export proceeds in the NOSTRO accounts, the ADs would facilitate shipping of goods and report the EXP form in the online reporting system of Bangladesh Bank.
After receipt of the Second Original of EXP form from exporters within 14 days of shipment, the ADs will credit export proceeds to the respective accounts of exporters and report the execution of export with proceeds realised in the online reporting system.
The ADs will also observe routine procedures to report the transactions to Bangladesh Bank in usual monthly returns, the BB instruction said.
In case of failure in executing the export, the payment credited in NOSTRO accounts may be refunded to foreign buyers.
As usual, the ADs will exercise due diligence in respect of the transactions and comply with relevant regulations in force.
Want stories like this in your inbox?
Sign up to exclusive daily email
More Stories from Banking