BRPD Circular Letter No. 06: Exemption from the provision of section 26kha(1) of Bank Company Act, 1991 regarding general credit limit to electricity producing companies

BRPD Circular Letter No. 06
Banking Regulation and Policy Department Bangladesh Bank Head Office Dhaka.

BRPD Circular Letter No. -06 17 Falgun 1429 Date: ----------------------- 02 March 2023

Managing Director/Chief Executive Officer All Scheduled Banks operating in Bangladesh.

Dear Sir,

Regarding the provision of exemption from the provision of section 26kha(1) of Bank Company Act, 1991 concerning the general credit limit restriction for electricity producing establishments.

A copy of the Notification No.-BRPD(R-1)(Review)717/2023-1968 issued by Bangladesh Bank on 02 March 2023 on the above subject is enclosed herewith for your information and necessary action.

Yours faithfully,

Enclosure: 01 (One)

(Md. Harun-Or-Rashid)
Director (BRPD)
Phone-9530095

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Banking Regulation and Policy Department Bangladesh Bank Head Office Dhaka.

Notification
17 Falgun 1429
No.-BRPD(R-1)(Review)717/2023-1968 Date: ----------------------- 02 March 2023

In exercise of the powers conferred by section 121 of the Bank Company Act, 1991 (Act No. 14 of 1991), it is hereby notified for information of all concerned that, in order to maintain uninterrupted supply of fuel and other raw materials required for electricity production, the prohibition imposed under section 26kha(1) of the Bank Company Act, 1991 shall not apply to any bank granting loans to any individual person, institution, or group for importing fuel and other raw materials required for electricity production, until 31 December 2023. However, the Bangladesh Bank shall determine what the upper limit shall be instead of the 25% upper limit mentioned under section 26kha(1) of the Bank Company Act, 1991, until 31 December 2023.

(Abu Farah Md. Naser)
Deputy Governor
Bangladesh Bank