Foreign Exchange Policy Department-1 gm.fepd@bb.org.bd
| Name & Designation | Telephone | Fax | |
|---|---|---|---|
| Md. Sarwar HossainDeputy Governor | mds.hossain@bb.org.bd | 880-2- 9530412(O) | -- |
| Md. Harun-Ar-RashidDirector (FEPD) | mhor.rashid@bb.org.bd | 880-2-9530123(O) | -- |
Pursuant to the authority vested in Bangladesh Bank under the Foreign Exchange Regulation Act, 1947 (amended upto 2015), and in furtherance of its mandate to ensure orderly development and stability of the external sector, Foreign Exchange Policy Department (Division-1) and Foreign Exchange Policy Department (Division-2) were reorganized with effect from January 01, 2026 into two departments, namely Foreign Exchange Policy Department-1 (FEPD-1) and Foreign Exchange Policy Department-2 (FEPD-2) vide Administrative Circular No. 1 , dated: 01 January 2026.
Foreign Exchange Policy Department-1 is entrusted with the formulation, issuance, interpretation, and enforcement of foreign exchange and international trade–related policies in selected areas, with a view to facilitating legitimate external sector transactions, ensuring regulatory compliance, and supporting macroeconomic stability.
Core Functions
Export and Import Policy:
FEPD-1 formulates, reviews, and issues policies, circulars, and instructions governing foreign exchange transactions related to export and import trades. These include settlement procedures, documentation, and repatriation of export proceeds, import payments, and compliance obligations for Authorized Dealers (ADs). The Department also supports the Government in formulating and implementing Export Policy and Import Policy Orders, including export incentive schemes.
Outward Remittance Policy
The Department frames and administers policies relating to outward remittances under the current account, covering personal, business, and institutional remittances, ensuring alignment with balance of payments sustainability, macroeconomic objectives, and international commitments.
Non-Funded Business and Trade Finance
FEPD-1 provides policy guidance and regulatory oversight on non-funded foreign exchange business, including guarantees, standby instruments, and contingent trade finance arrangements undertaken by ADs.
Export Proceeds Discounting
The Department provides secretarial support to the Discount Committee in processing applications for waiver from repatriation of export proceeds, in accordance with prevailing policy and risk considerations.
Offshore Banking Policy
FEPD-1 formulates policy matters relating to offshore banking operations, including licensing and associated foreign exchange settlements, in coordination with relevant supervisory departments.
International Trade and Trade Agreements
FEPD-1 engages with different government agencies such as Ministry of Commerce, Ministry of Foreign Affairs etc. and advises them on matters related to interpretation of banking and foreign exchange policies for formulating recommendations, opinions and stances in different international trade agreements (such as FTA, PTA, RTA, BTA, CEPA, TICFA, TIFA etc.) with different countries. The Department also liaises with different government agencies regarding information related to international trade. Moreover, the Department cooperates with relevant ministries regarding economic graduation, Trade Policy Review and WTO related matters. In addition, the Department connects with ADs and other policy makers for trade and foreign exchange related issues.
Legal Enforcement
FEPD-1 initiates, coordinates, and supports regulatory and legal actions in respect of violations of the Foreign Exchange Regulation Act, 1947 and related instructions, including issuance of show-cause notices, liaison with enforcement authorities, initiates legal suites, etc.
Policy Support and Coordination
The Department provides policy interpretation and guidance to ADs, Government agencies, and stakeholders, and maintains close coordination with other departments of Bangladesh Bank and relevant Government ministries to ensure consistent implementation of foreign exchange and trade policies.
Administrative Functions
Through its General Section, FEPD-1 performs administrative and internal support functions necessary for the effective discharge of its responsibilities.