Bangladesh Bank warns banks against import from sanctioned countries
The central bank issued the instruction following a report ran by The Business Standard on 14 October, titled “How cheaper LPG import from sanctioned Iran rattling the market” over the import of LPG at a relatively cheaper price from Iran
The Bangladesh Bank has issued a warning to all banks, urging them to stay alert regarding the import of products from supplier countries that have global sanctions.
Authorised dealer branches of the banks and their central trade processing units have been advised to exercise caution in importing products from the sanctioned supplier nations, said sources, citing an internal document issued by the central bank.
It also requested verification of whether the supplier country is under international restrictions. Because, transactions in these countries are risky for global banks.
Also, similar instructions have been incorporated into Bangladesh Bank's anti-money laundering and terrorist financing policy.
The central bank issued the instruction following a report ran by The Business Standard on 14 October, titled "How cheaper LPG import from sanctioned Iran rattling the market" over the import of LPG at a relatively cheaper price from Iran, a country currently under sanctions by the US and EU.
"While the LPG sector in Bangladesh struggles to survive in an oversaturated market, some of the country's around 30 operators are reportedly importing cheaper LPG from Iran, a nation under sanctions by the US and EU, leading to uneven competition, particularly for companies that want to operate fairly," states the report.