BUILD hails BB policy on cash incentive for export

Business Initiative Leading Development (BUILD) On Thursday hailed the Bangladesh Bank (BB) policy for not to process the application to release cash incentives until the entry of export earning to Authorized Dealer (AD) Bank, reports BSS.

Foreign Exchange Policy Department of the central bank has issued a circular on Monday, which instructed the head office or principal office of AD Banks for not to process the application, to release cash incentive, until the entry of export earning reaches Authorized Dealer Bank, said a press release here today.

BUILD conducted a brief research and prepared a policy paper namely “Situation Analysis of Constraints and amp Policy Support Needs for Export Subsidy or Cash Incentives for the Exporters” which was submitted to the 6th Meeting of the Trade and Investment Working Committee at the Ministry of Commerce on 13th November, 2018 and 12th PSDPCC Meeting at Prime Minister’s Office on 10th February, 2019. BUILD recommended that BB should take initiative to ensure the entry of export earning to Authorized Dealer Banks before releasing cash incentive against export earnings. Ministry of Commerce has already formed a committee to prepare a structured guideline to provide cash incentive/export subsidy. BUILD appreciates Bangladesh Bank’s move as genuine exporters can be benefited by having cash incentives on time without much hassle, added the release.