Regulatory Alerts2014-08-13
Added · Updated
BRPD Circular No. 12 : Prudential Regulations for Consumer Financing (Regulation for Auto Loans)
Regulation 16 of the Prudential Regulations for Consumer Financing is amended to cap auto loans, including insurance, at TK. 4 million per individual, treating facilities for dependent members as part of that individual's exposure. Financing must be provided at a maximum debt-equity ratio of 50:50. These changes apply to all scheduled banks in Bangladesh and take immediate effect.