Sunday, May 28, 2017

Bangladeshis can buy taka bonds from foreign companies: BB

  • Farhan Fardaus, bdnews24.com
    Published: 2017-04-12 21:47:40 BdST

bdnews24

Bangladeshi individuals or companies can buy taka-denominated bonds to be issued by foreign companies here as the central bank has relaxed rules.

The Bangladesh Bank issued a notice on Wednesday permitting Bangladeshis to invest in those bonds, a debt instrument for companies to raise funds.

The notice asked all authorised dealers in foreign exchange in Bangladesh to notify their relevant units immediately. 

Rules had earlier prevented Bangladeshis from buying the taka bonds from foreign companies.

Companies such as Grameenphone, Unilever or British American Tobacco could issue bonds denominated in taka with permission from Bangladesh Securities and Exchange Commission, but individuals were not allowed to buy them.

“Now any person or company can invest in foreign companies’ taka bonds,” an official of the Foreign Exchange Policy Department, requesting anonymity, told bdnews24.com.

No foreign companies issued taka bonds until now and mobile-phone operator Banglalink applied for permission to issue taka bonds.