Bangladesh Bank has relaxed import procedures to allow industrial firms to bring in a wider range of capital goods on usance terms of up to three years, removing the requirement for prior approval from the Bangladesh Investment Development Authority. The move is expected to ease financing pressures for manufacturers amid subdued private-sector investment.
In a circular issued on 10 December, the central bank said the instruction follows a decision from the 186th meeting of BIDA’s Scrutiny Committee on Foreign Loan and Supplier’s Credit, which was chaired by the Bangladesh Bank governor.
The new rule permits importers to secure a payment tenor of up to three years for capital goods, extending beyond just capital machinery, which had been the sole eligible category under previous regulations.
Industry insiders said the change dismantles a long-standing procedural bottleneck that forced businesses to seek additional regulatory approvals for extended usance terms.
They stated the relaxed window will help firms import capital goods – including vessels and specialised equipment – on more flexible credit terms, which should improve investment planning and support capacity expansion in key productive sectors.
