CGD Circular Letter No. 02: Display of Posters Regarding Credit Guarantee Scheme

To: All Chief Executive/Managing Directors All Scheduled Banks and Financial Institutions Operating in Bangladesh

Dear Sir,

Regarding the installation of posters in bank branches to raise awareness about the Credit Guarantee Scheme.

The Cottage, Micro, Small and Medium Enterprises (KSSME), agriculture, and financial inclusion sectors play a pivotal role in ensuring inclusive economic growth, including poverty alleviation, reduction of regional disparities, and women's empowerment. However, the requirement to provide collateral is considered one of the major obstacles for primary communities in these sectors to obtain institutional loans. In this context, Bangladesh Bank is providing Credit Guarantee facilities to ensure that entrepreneurs in the KSSME, agriculture, and financial inclusion sectors of the country can access relatively low-interest and easy-term loans without collateral.

2. If all stakeholders, including primary entrepreneurs, are informed about the facilities provided by Bangladesh Bank regarding the Credit Guarantee Scheme, the KSSME sector and the primary level of entrepreneurship will see growth, and interested entrepreneurs will be able to undertake business by availing of Credit Guarantee facilities, thereby accelerating inclusive economic development.

3. In this context, a design for a color poster has been prepared to raise public awareness among primary entrepreneurs regarding the Credit Guarantee (copy attached). The poster, measuring 30"x18", must be printed or displayed through any other suitable medium in locations where it is easily accessible at every branch, sub-branch, and agent outlet of banks and financial institutions that have entered into an agreement with the Credit Guarantee Department, and installed within the next 02 (two) months. The Department must be informed in advance.

4. This directive is issued under the powers granted by Section 45 of the Bank Companies Act, 1991, and Section 18 of the Financial Institutions Act, 1993.

This directive shall take effect immediately.

Yours faithfully,

(Nahid Rahman) Director (CGD) Phone: 9530179

Enclosure: 01. Design of the poster regarding the facilities provided by Bangladesh Bank concerning the Credit Guarantee Scheme.

Bangladesh Bank (Central Bank of Bangladesh) Head Office Motijheel, Dhaka-1000 Bangladesh

Ref No.: CGD.CIR.02 Credit Guarantee Department CGD Circular Letter No. 02 Date: ---------------- 07 November 2024 22 Kartik 1431