Bangladesh - Country Commercial Guide
Trade Financing

It covers payment methods and information on, banking systems, foreign exchange controls, and U.S. and correspondent banking.

Last published date: 2021-09-17

Methods of Payment

Unless the importer is a reputable multinational company operating in Bangladesh or a reliable, long-standing Bangladeshi customer, the Embassy recommends all U.S. exporters require their local buyers to present irrevocable, confirmed letters of credit to secure payment, preferably from a U.S. bank, whether the importer is a private firm or part of the government and whether a multilateral institution or bilateral donor agency or government is financing the importer.  U.S. exporters should also be aware it is a normal business practice for government procurement agencies to require exporters to post performance bonds, which can be arranged with a bank operating in Bangladesh, including several international banks.

For more information about the methods of payment or other trade finance options, please read the Trade Finance Guide available at https://www.trade.gov/trade-finance-guide-quick-reference-us-exporters.

.Banking Systems

Additional information regarding banking systems is available in the “Financial Sector” sub-section of the IInvestment Climate Statement

Foreign Exchange Controls

Additional information regarding foreign exchange controls is available in the “Financial Sector” sub-section of the Investment Climate Statement.

U.S. Banks and Local Correspondent Banks

Scheduled banks have arrangements with U.S. correspondent banks for their U.S. dollar clearing requirements.