Authorized Dealers in Foreign Exchange

Collected by macs
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Authorized Dealers:

As per section 2 of foreign Exchange Regulation act 1947,

Authorized Dealer means a person, for the time being authorized
under section 3 to deal in Foreign Exchange.

In other words Authorized Dealer means a Bank, authorized by

Central Bank to Deal in foreign Exchange under the FER Act 1947.

There are some persons or firms, authorized by Central Bank to

deal in Foreign Exchange with limited scope, are called
Authorized Money Changers.

Functions of Authorized Dealers:

Authorized Dealer can handle all kinds of Foreign Exchange

transaction as per FER Act 1947 under the instruction of Central
Bank. Following are the main function of an Authorized Dealer.

i. Exchange of Foreign Currencies.

ii. To make arrangement with Foreign Correspondent.
iii. Buying and Selling foreign Currencies
iv.Handling of Inward and Outward Remittance
v. Opening of L/C and Settlement of Payment
vi.Investment in Foreign Trade
vii. Opening & maintenance of Accounts with Foreign Banks
under intimation of Bangladesh Bank
viii. Export Documents handling.