BB asks banks not to delay LC payments

BB asks banks not to delay LC payments

Bangladesh Bank (BB) has asked banks to make letters of credit (LC) payments on time.
"Delays in making import payments by banks are unacceptable against clean bills and accepted bills," said a BB circular issued today.
The circular mentioned that the settlement procedure needs to be observed in respect of import transactions, including permissible inland deliveries in foreign currency.
Delay in payments deteriorates correspondent relations with counterparts and increases import costs.