FID Circular Letter No. 01: Refinance Scheme for the COVID-19 affected low income professionals, farmers and holders of small and marginal businesses

The Financial Inclusion Department amends Paragraph 9 of FID Circular No. 01/2020 to redefine the maximum refinance amount a bank can obtain from a single microfinance institution. The new limit is set at the lower of 30% of the institution's average loan/investment disbursed over the previous three years or 5% of the total scheme fund (BDT 300 crore). This amendment applies to all scheduled banks operating in Bangladesh and takes effect immediately.

Get BB alerts — same-day email on every new publication.

Bangladesh Bank
Head Office
Motijheel, Dhaka-1000.
Ref. No. 16.00.0000.048.07.001.20-136
Financial Inclusion Department
FID Circular Letter No. 01/2020 Date:
To
Managing Director / Chief Executive Officer
All Scheduled Banks Operating in Bangladesh
Dear Sir,
Re: Refinance Scheme for the COVID-19 affected low income professionals, farmers and holders of small and marginal businesses, 2020. Reference is invited to FID Circular No. 01/2020 issued on April 20, 2020, regarding the subject cited above.
2. Paragraph 9 of the aforementioned circular is hereby replaced with the following:
'The maximum refinance amount that any bank may obtain from any one microfinance institution shall be the lower of 30% of the average loans/investments disbursed by the said microfinance institution over the past three years or 5% of the total fund of the said Refinance Scheme (BDT 3,000 Crore).'
3. Furthermore, all other provisions of FID Circular No. 01/2020 shall remain unchanged. These instructions are to be implemented immediately.
Yours faithfully,
(Md. Anowarul Islam)
General Manager
Phone: 02-9530543
Email: fid@bb.org.bd
12 Ashwin 1427
27 September 2020

Read the rest free

Lineage: In force

amendssupersedesissued underrefers toproposed or not in RegAlertarrows run from the older text to the one that changes it

Timeline

This document amends: FID Circular No. 01: Refinance Scheme for Low-Income Professionals, Farmers, and Micro-Businessmen Affected by COVID-19

Source: Bangladesh Bank — original document · Summary generated with machine assistance and reviewed before publication; the authoritative text is the regulator's original document. How RegAlert works