GBCSRD Circular Letter No. 03: Regarding Tk. 200 Crore Refinance Scheme for 10 Tk A/c Holders

Green Banking and CSR Department Bangladesh Bank Head Office, Dhaka

www.bb.org.bd

GBCSRD Circular Letter No. 03 Date: December 22, 2014 Poush 08, 1421

Managing Director / Chief Executive All Scheduled Banks operating in Bangladesh.

Dear Sir,

Refinance Scheme for Small/Semi-micro/Landless Farmers, Low-income Professionals Affected by Natural Disasters, and Rural/Small Businessmen holding Tk. 10 A/c under the Financial Inclusion Program.

Reference is drawn to your attention to GBCSRD Circular No. 01 dated May 14, 2014 and the letter dated May 27, 2014, regarding the subject cited above.

In light of the aforementioned circular and letter, the following amendments and additions are made to the circular with the aim of providing enhanced credit facilities to customers holding Tk. 10 A/c:

a) Interest Rate at Customer Level:

1. Banks shall charge interest at a maximum annual rate of 9.5% [Existing Bank Rate (currently 5%) + Maximum 4.5%] against loans from this fund at the customer level.
2. In the case of loan distribution through MFIs, the bank shall charge interest from the MFI at a maximum rate of 7% [Existing Bank Rate (currently 5%) + Maximum 2%].
3. In the case of loans provided by MFIs, the interest rate at the customer level shall be a maximum of 9.5%.

b) Loan Distribution:

1. The majority of the refinance fund shall be distributable at the customer level directly through the bank.
2. In areas where the bank has no branch/outlet, loans may be distributed through Bank-MFI channels.

All other conditions previously mentioned in the above circular shall remain unchanged.

This directive shall take effect immediately.

Yours faithfully,

(Manoj Kumar Biswas) General Manager Phone: 9530320 E-mail: manoj.biswas@bb.org.bd gm.gbcsrd@bb.org.bd