Regulatory Alerts2023-11-28
Added
BRPD Circular No. 16: Collateral Valuation Firm/Company Enlistment Policy
The document establishes the enlistment policy for collateral valuation firms and companies to be listed with Bangladesh Bank, mandating that such firms be listed to value collateral for loans under Section 29C of the Bank Companies (Amendment) Act, 2023. It defines minimum eligibility criteria, including membership in specific professional associations and at least three years of experience, alongside a maximum age limit of 75 for the Chief Valuer. The policy sets valuation thresholds requiring listed firms for loans of 1 crore BDT or more, dual independent valuations for loans of 100 crore BDT or more, and restricts the use of non-listed firms or subcontracting by listed firms. It outlines the application process, evaluation methodology, annual reporting obligations, inspection rights, and grounds for de-listing, with a validity period of up to three years.