Bangladesh Bank (BB) has relaxed rules for fruit imports, withdrawing the requirement for a 100 percent cash margin as stability returns to the foreign exchange market.
In a circular issued today, the central bank asked banks to determine the cash margin for opening letters of credit (LCs) for fruit imports based on their relationship with customers.
The move comes nearly two years after BB imposed a mandatory 100 percent cash margin on imports of luxury goods and domestically produced import-substitute items, including fruits. The measure was introduced to stabilise the foreign exchange market and slow the depletion of foreign exchange reserves.
The rule reduced fruit imports but also pushed up prices.
In its latest circular, BB said fruits are an essential part of the daily diet, particularly for children, patients, elderly people and pregnant women.
The central bank said the foreign exchange market and transactions have gradually improved. As a result, the need for a 100 percent cash margin on fruit imports has decreased.
Fruit imports, measured by the opening of LCs, rose 21 percent year-on-year to $317 million during the July-May period of fiscal year 2025-26, according to BB data.
