Bangladesh finally started trade transactions in Indian rupees (INR) today.
The move is being seen as an initiative to reduce the dependence on US dollars in international trade.
On the occasion, Indian High Commission and Bangladesh Bank orgaised an inaugural programme at a Dhaka hotel.
Bangladesh Bank Governor Abdur Rauf Talukder and Indian High Commissioner Pranay Verma were present on the occasion.
The central bank governor said, “Discussion (on this initiative) between India and Bangladesh has been going on for a long time; businessmen have been demanding this for a long time… Now, it has become a reality.”
Now trade will be done in rupees as well as dollars, he said.
He said that India is one of Bangladesh’s biggest trading partners. Bangladesh imports $14 billion worth of goods from India and exports $2 billion worth of goods to the neighbouring country.
Transaction costs during trade with India will be reduced with the introduction of the taka-rupee dual currency card, he added.
The Indian high commissioner hoped that both countries would benefit from this approach.
Afzal Karim, Managing Director (MD) of Sonali Bank; Ali Reza Iftekhar, MD of Eastern Bank; Sheikh Md Salimullah, Secretary to the Financial Institutions Division of the Ministry of Finance, also spoke on the occasion.
BIDA Chairman Lokman Hossain Mia; Commerce Secretary Tapan Kanti Ghosh; FBCCI President Md. Jasim Uddin; India-Bangladesh Chamber President Abdul Matlub Ahmed; and BGMEA President Farooq Hasan attended the event as well.
Sonali Bank and Eastern Bank of Bangladesh and the State Bank of India and ICICI Bank of India are the banks responsible for trading in rupees between the two countries.
Bangladesh Bank Spokesperson Md Mesbaul Haque, during a press conference at the bank’s headquarters in Motijheel, informed of LCs opened on the inaugural day.
He said two Bangladeshi businesses – Tamim Agro and Shahjahan Mia – received export letters of credit (LCs) worth 28 million Indian rupees and two import LCs – Nita Company and Abdul Matlub Ahmad – worth 12 million Indian rupees were handed over by Sonali Bank, Eastern Bank of Bangladesh and State Bank of India and ICICI Bank.
