Bangladesh Bank has said that the industrial units which would be set up in the economic zones would be allowed to maintain foreign currency accounts with authorised dealer branches and off-shore banking units (OBU) of scheduled banks. The BB issued a circular to authorised dealer branches of all banks on Tuesday saying that proceeds from exports by EZ entities would be allowed to be retained and used through such foreign currency accounts.A BB official told New Age on Wednesday that the latest circular had relaxed the previous regulations for the industrial units of EZs as they (industrial units) were earlier allowed to keep their equity with the Taka account of the banks. Besides, equity from foreign shareholders and loans received in foreign currency from authorised sources may be credited in such foreign currency accounts of Type A and Type B units of EZs. Under the Type A industrial unit, 100 per cent foreign owned including those owned by Bangladeshi nationals ordinarily residing abroad. Joint venture projects between foreign and Bangladesh entrepreneurs resident in Bangladesh will be considered as Type B industrial units, and 100 per cent Bangladeshi entrepreneurs resident in Bangladesh as Type C. Authorised external loan proceeds will be allowed to credit in foreign currency accounts of Type C units of EZs, the circular said. AD branches and OBUs (for Type A units) will be allowed to remit the royalty, technical know-how and technical assistance fees of enterprises located in EZs from their FC accounts without prior permission from BB or Bangladesh Economic Zone Authority if the total fees and other expenses connected with above mentioned purposes do not exceed 6 per cent of the cost of imported machinery in a year. Foreign nationals working in EZs (with valid work permit issued by BEZA) are allowed to remit through an AD branch 75 per cent of net salary, 100 per cent of leave salary and actual savings and all pension benefits without prior the BB approval.
