Trade settlement in rupees to boost Bangladesh-India business

Подробнее о видео

The veteran businessman Abdul Matlub Ahmad believed the decision to settle trade in Indian rupees would not pose any discrimination or risk factors for Bangladesh and it would rather help Bangladesh save $2 billion amid the foreign reserve crisis it had been facing.
He pointed out that India was also facing a dollar crisis and the arrangement would be mutually beneficial for both the countries.
He explained that conducting trade in rupees would eliminate the fluctuation risk of the dollar, thus reducing the cost of doing business.
With banks facing difficulties in providing dollars to open letters of credit, it became essential for Bangladesh to conduct business in rupees.
Matlub Ahmed, also the chairman of Nitol-Niloy Group, stated, ‘After the shock of Covid-19 pandemic and the Russia-Ukraine war, the global economy was upset, and Bangladesh’s foreign reserve started declining from June-July 2022’.
‘We proposed the government to allow settlement in rupees to continue business between Bangladesh and India,’ he said.
The approval of trade settlement in rupees by the governments of Bangladesh and India on July 11 was seen as a significant milestone by Matlub.
He expressed hope that this move would lead to a substantial increase in Bangladesh’s exports to India.