Bangladesh, Sept. 21 -- The central bank has allowed banks' Offshore Banking Units (OBUs) to undertake outright foreign-currency purchase and sale transactions and cross-currency swaps with eligible counterparties, expanding their scope for foreign-exchange operations.

Advertisement The latest move by Bangladesh Bank (BB) is aimed at improving the efficiency of foreign-currency funding and facilitating cost-effective financing for permissible trade and business activities.

Under the new arrangement, OBUs may undertake outright foreign currency purchase and sale transactions and cross-currency swap arrangements with their respective Domestic Banking Units (DBUs), other Authorized Dealers (ADs), other OBUs, and other legitimate counterpa...