BSS
  11 May 2026, 19:12

BB sets 3pc all-in-cost ceiling for short-term trade finance

DHAKA, May 11, 2026 (BSS) – Bangladesh Bank (BB) has set a new all-in-cost ceiling for short-term permissible trade finance in foreign exchange, fixing the mark-up at a maximum of 3 percent per annum over relevant international benchmark rates.

The central bank issued the directive today, citing prevailing trends in global financial markets. 

Under the new arrangement, the ceiling will apply over benchmark rates such as the Secured Overnight Financing Rate (SOFR) and the Euro Interbank Offered Rate (Euribor), depending on the currency involved in the transaction.

Bangladesh Bank also said the revised all-in-cost ceiling would be applicable to the discounting of usance export bills and early payments against exports under open account credit terms. 

The central bank instructed Authorized Dealers (ADs) in foreign exchange to immediately inform their clients about the revised ceiling to ensure that the total financing cost remains within the prescribed limit.

Bangladesh Bank further clarified that all other existing instructions relating to trade finance under the previous circulars will remain unchanged.