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Bangladesh Bank allows foreign currency-taka swap facility for dealers

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Bangladesh Bank allows foreign currency-taka swap facility for dealers



Bangladesh Bank recently introduced a financial arrangement allowing authorised dealers (ADs) to enter into foreign currency-taka swap arrangements with exporters against balances held in their respective 30-day pools and exporters’ retention quota (ERQ) accounts.

The decision aims at facilitating short-term liquidity requirement in taka of exporters while simultaneously permitting them to maintain their foreign currency holdings, a circular from the central bank said.

Bangladesh Bank has introduced a financial arrangement allowing authorised dealers to enter into foreign currency-taka swap arrangements with exporters against balances held in their respective 30-day pools and exporters’ retention quota accounts.
The aim is to facilitate short-term liquidity requirement in taka of exporters while simultaneously permitting them to maintain their foreign currency holdings.

The swap tenor must not exceed the expected utilisation period for ERQ balances, and is limited to a maximum of 30 days for 30-day pools. The facility against such swap is to be settled on maturity.

The applicable swap points will be based on market- or cost-reflective interest rate or profit differential between two currencies.

Swaps shall be executed only against available and unencumbered balances held in foreign currency owned by exporters. ADs shall maintain adequate risk management, credit and liquidity control systems, along with internal approval and audit mechanisms, according to domestic media reports.

The swap transaction shall not be treated as loan or financing facility extended to customers by ADs.

Taka funds obtained by exporters under the swap arrangement shall be used solely for bonafide working capital purposes related to export operations; no speculative positions shall be undertaken under this arrangement.

Fibre2Fashion News Desk (DS)



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Bangladesh apparel reset: Compliance edge or energy trap?

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Bangladesh apparel reset: Compliance edge or energy trap?



The pivot is urgent because the old model is under pressure. April **** looked strong: Ready-Made Garment (RMG) exports rose **.** per cent year on year to $*.** billion. But the ten-month picture is weaker. From July-April FY******, apparel exports stood at $**.** billion, down *.** per cent. Knitwear fell *.** per cent to $**.** billion; woven fell *.** per cent to $**.** billion. The rebound is real, but so is the drag underneath.

AWARE is the sharpest EU-facing signal: blockchain-backed product data for Digital Product Passport (DPP) readiness. Open Supply Hub adds the factory-identity layer, pushing production information into an open platform. GIZ brings the longer reform spine, from May **** to February ****, covering energy efficiency, circularity, chemical management, renewable-energy skills and textile-waste transparency.



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UGG boots that last 15 years: Inside Deckers’ strategy

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UGG boots that last 15 years: Inside Deckers’ strategy



Kenneth Straka, Senior Product Development Manager at Deckers Outdoor Corporation, said that Deckers places strong emphasis on sustainability, noting that founder John Luke often reminded the team that the French word for sustainability is durability. This idea aligned with discussions at the Global Fashion Summit, where the theme centred on “Building Resilient Futures” in the sustainable and circular economy.

Durability has helped UGG become one of the most sought-after boot brands and a key sales driver for Deckers, alongside its sportswear brand Hoka. “One of the things we think about in terms of circularity is making products that last a long time and remain with consumers throughout their lives. We want products that consumers can wear for ** or ** years,” Straka said in an interview with Fibre*Fashion on the sidelines of the Global Fashion Summit in Copenhagen.



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South India cotton yarn sees mixed trend, prices up in Tiruppur

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South India cotton yarn sees mixed trend, prices up in Tiruppur



In the Tiruppur market, cotton yarn prices increased by ****;** per kg in this week despite sluggish local demand. Prices were quoted higher because of limited supply from spinning mills. A trader from the Tiruppur market told Fibre*Fashion, “Domestic demand remained limited, but spinning mills are not relying solely on the domestic market for cotton yarn sales. They are focusing more on exports, where demand and prices remain attractive. Mills have raised yarn prices following higher ICE cotton prices and the CCI’s increase in auction base prices, although ICE cotton has witnessed a sharp decline over the past two days.”

In Tiruppur, knitting cotton yarn prices were noted as: ** count combed cotton yarn at ****;****** (~$*.***.**) per kg (excluding GST), ** count combed cotton yarn at ****;****** (~$*.***.**) per kg, ** count combed cotton yarn at ****;****** (~$*.***.**) per kg, ** count carded cotton yarn at ****;****** (~$*.***.**) per kg, ** count carded cotton yarn at ****;****** (~$*.***.**) per kg, and ** count carded cotton yarn at ****;****** (~$*.***.**) per kg.



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