Euro, yen also allowed for ACU transaction settlements

Staff Correspondent | Published: 23:51, Jan 18,2018


Asian Clearing Union has resumed accepting euro and allowed Japanese yen, along with US dollar, for settlements of current account transactions among ACU members that included Bangladesh.
Bangladesh Bank issued a circular in this regard on Thursday. The instruction of the circular will come into effect immediately, it said.
BB deputy general manager Kawsar Matin said ‘the decision to accept euro and yen for settlement of transactions was made at a board meeting among ACU members recently.’
In July 27, 2016, the authorised dealers of the ACU were advised to suspend operations in euro temporarily until further notice, he said.
Yen has been included for the first time, he said.
He said the member countries are now allowed to make payment for transactions like export and import in one of the three currencies.
Bangladesh, Bhutan, India, Iran, the Maldives, Myanmar, Nepal, Pakistan and Sri Lanka are members of the Tehran-headquartered ACU that was established in December 1974.
ACU is a payment arrangement where the participants settle payments for intra-regional transactions among the participating central banks on a net multilateral basis.
The main objective of the clearing union is to facilitate payments among member countries for eligible transactions.
Bangladesh makes import payment to the ACU members through the platform and recently made a payment of $1,355 million to settle import bills.

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