Regulatory Alerts2014-11-02
Added · Updated
BRPD Circular No. 14: Support for Tanneries Relocated or Ordered to Relocate to the Modern Leather Industrial City in Savar
Bangladesh Bank mandates that scheduled banks provide specific loan restructuring facilities for tanneries relocating to the Savar Modern Leather Industrial City, including a one-year moratorium, an eight-year repayment period, and interest rates capped at 10% or the prevailing BBSR rate, whichever is lower. The circular authorizes the waiver of unapplied, suspended, and penal interest for these loans, while permitting banks to relax down payment requirements for export-oriented tanneries and adjust loans against export bills. Borrowers must apply for these facilities within six months of the circular's issuance and provide proof of relocation progress, subject to the bank's satisfaction, with standard loan classification and provisioning rules applying if repayment fails.
More like this from BB
BB published 33 documents in the last 30 days. We email you each new one the day it's published.