Standard Chartered Bangladesh completes first multinational FMCG INR-BDT import transaction

Own Correspondent: Standard Chartered Bangladesh has recently completed its first Indian Rupee (INR) denominated import transaction with Unilever Bangladesh Limited (UBL), the country’s largest multinational fast-moving consumer goods (FMCG) company.

This is the first ever cross-border import transaction by Standard Chartered Bangladesh settled in each country’s respective local currency. The bank is committed to unlocking new avenues of currency diversification, sustainable solutions and fostering growth opportunities for clients.

This milestone gives Unilever Bangladesh Limited the option to conduct financial transactions in INR with its India-based suppliers in commercial transactions. This will enable Unilever to enjoy greater operational flexibility and at the same time support the growth of the organization.
Also, having access to direct debit facilities in Indian rupees will ensure savings as well as reduction in related expenses of the organization.

Due to Standard Chartered’s global network and regional strength, the bank has been successful in providing seamless transaction and trade capabilities in rupees and takas, the local currencies of the two countries, which will accelerate bilateral trade between the two countries.

Nasser Ejaz Vijay, Chief Executive Officer, Standard Chartered Bangladesh said, “The use of Indian Rupee in bilateral trade is creating great opportunities for both exporters and importers and we are delighted to be associated with this initiative. The size of the consumer goods market in Bangladesh is about US$ 3.6 billion and the annual growth rate is 9 percent. Thus, the successful implementation of this rupee-denominated commercial transaction has set a precedent for other institutions, contributing to the collective progress of one of the most important and promising sectors of the country. We are eager to learn from this opportunity and proud to contribute to shaping the future of international trade. We are equally delighted to complete our first ever import transaction in Indian rupees with Unilever Bangladesh, a trusted partner in our efforts towards economic progress, sustainable development and social empowerment.”

Javed Akhtar, Chairman and Managing Director, Unilever Bangladesh Limited (UBL), said, “Unilever Bangladesh has a long heritage as a responsible and pioneering business organization and our strategic choice is to ensure superior business activity through a future-proof business model. In recent times, Bangladesh has faced some economic instability due to global factors such as global conflicts and the resulting disruption of global supply chains. Also the shortage of US dollar has affected our foreign reserves. Last year, the Bangladesh government started bilateral talks with India and it was decided to open letters of credit in rupees as an alternative. I am glad that Unilever Bangladesh Limited and Standard Chartered Bangladesh have been among the pioneers in supporting this process of transaction in INR. This will not only reduce the dependence on the dollar, but also reduce the pressure on Bangladesh’s foreign exchange reserves. Through innovative macroeconomic strategies and this kind of partnership between Standard Chartered Bangladesh and Unilever Bangladesh, the private sector will be able to support Bangladesh’s long-term economic growth.

Standard Chartered is the only multinational universal bank in Bangladesh with uninterrupted service for over 119 years. As a long-standing partner in the country’s progress, the bank is facilitating major investments in power, energy, transport and urban development. Apart from import and export financing, Standard Chartered also handles power generation financing and a large portion of SME loans to foreign banks. Standard Chartered uses innovative and state-of-the-art technology to deliver solutions for partners in Bangladesh and beyond.

Unilever Bangladesh Limited (UBL) is the country’s largest FMCG company with a 60-year legacy. More than 9 out of every 10 households in Bangladesh use one or more Unilever brands for their daily needs.

With more than 26 brands, Unilever Bangladesh Limited is part of the daily lives of millions of consumers in Bangladesh. UBL, a subsidiary of Unilever, one of the world’s leading consumer goods companies, is present in more than 190 countries. UBL’s mission is to provide global leadership in sustainable business while creating examples of how purposeful, future-proof business models can further enhance performance. Unilever’s global sustainable business strategy known as the ‘Unilever Compass’ is geared towards helping us improve performance and ensure sustainable and responsible growth. In addition, the Unilever Compass is committed to improving the health of the planet, people’s health, self-confidence and establishing a fairer and more socially inclusive world.