Terms on which LCs may be opened

Documentary Credits
LCs requiring prior permission
Transferable LC

Regulatory aspect
For irrevocable
Revocable
principle of autonomy
Independence principle:
Rule of strict compliance:

import by opening a letter of credit need to

fulfill the following criteria
valid IRC
valid Trade license
Valid membership certificate
VAT registration certificate.

he must obtain some documents like-

The application of letter of credit.
➢ Indent / Performa invoice / purchase order / contract / agreement.
➢ Charge documents duly & properly executed.
➢ Letter of Credit Authorization Form (LCAF) duly sealed & signed.
➢ Insurance cover note.
Cash Management
Leverage real-time analytics to proactively offer insights
Expand networks through partnering
Deliver on enhanced connectivity
Embed CM via “as-a-Services” tools

Credit rating
should be updated on a
continuous basis
submitted to Bangladesh Bank and made
public
half
yearly financial statements.

Merchant banking
separate subsidiary company;
restriction on buy the share
Banks
shall have to obtain prior approval from Bangladesh Bank

Short Term Financing

Microcredit
Nonagricultural credit, self – reliant credit

Export Financing
Regulation for export financing

Buyers Credit
Regulation Framework for Buyers credit:

regulatory framework of corporate banking in

Bangladesh

Group -1
1.Nahin Alam- 25-011
2.Faiza Tasneem- 25-019
3.Rafsan Khondoker- 25-061
4.Satabdi Saha- 25-159
5. Srabanti Rahman- 25-165

Working Capital
Financing
Term Lending
2 types:
1. Fixed Term Loans
2. Short Term Agricultural & Micro-Credit Loans

term Lending
Classifications &
Provisions

1 slide 
st

Foreign exchange service:

1. Foreign exchange law act created in 1947 and amendment occurs in 1952.
2. Foreign exchange only can done by authorized dealer.
2 slide
nd

Restriction on payment:
1. A person who is not a resident of Bangladesh cannot deal with foreign exchange 
2. He cannot transfer money outside of Bangladesh 
3. The payment will be authentic if it is done by any authorized or selected person from
Bangladesh bank
3 slide 
rd

Blocked account 
Bloced account means an account opened as a blocked account at any office or branch in
Bangladesh of a bank that is blocked by Bangladesh bank.
Regulation on export and transfer of securities
A person cannot take send and transfer any security or interest in favor of a person living or outside
of Bangladesh expect general or special permission of the Bangladesh bank