• 52 held in Cox’s Bazar while going to Malaysia illegally
  • Yemen Shiite rebels overrun tribal strongholds
  • Jamaat leader killed in accident in city
  • North, South Korea to hold talks on family reunions
  • BNP’s alliance to hold demonstration in city Tuesday
  • Thai protesters vow no let up after disrupting poll
  • Police yet to arrest BCL men over RU shooting
  • ‘ULFA chief living in China’
  • Three women have made my life difficult: Taslima
  • HC directs govt to hand over investigation to RAB
  • Bangladesh seek revival after first Test flop
  • Himu murder case hearing begins Feb 18
  • Khaleda to brief media Tuesday
  • No bar for release of Moudud, Mahbub: lawyer
  • Pakistan's Khan declines Taliban talks role
  • Speaker, Deputy Speaker meet President
  • Shibir involved in Rajshahi Varsity incident: Hasan Mahmud
  • Cabinet for modifying draft of non-formal education act
HOME  BUSINESS
  
Print Friendly and PDF

BB’S TK 200CR REFINANCE SCHEME

27 banks yet to disburse any green loan despite ceiling imposition

AKM Zamir Uddin

A solar panel is seen at a store on Dilu Road at Moghbazar in Dhaka last week. Twenty-seven scheduled banks are yet to disburse any loan under a Tk 200-crore refinance scheme for green products although Bangladesh Bank set a loan disbursement target of at least Tk 5 crore in a fiscal year under the scheme. — Sanaul Haque A solar panel is seen at a store on Dilu Road at Moghbazar in Dhaka last week. Twenty-seven scheduled banks are yet to disburse any loan under a Tk 200-crore refinance scheme for green products although Bangladesh Bank set a loan disbursement target of at least Tk 5 crore in a fiscal year under the scheme. — Sanaul Haque

Twenty-seven scheduled banks are yet to disburse any loan under a Tk 200-crore refinance scheme for green products although Bangladesh Bank set a loan disbursement target of at least Tk 5 crore in a fiscal year under the scheme.
The BB also set a credit disbursement target of at least Tk 3 crore a year under the refinance scheme for non-bank financial institutions but they are yet to disburse any loan under the scheme, according to the latest central bank data.
Against the backdrop, the BB issued a letter in the third week of January to all banks and the NBFIs to take necessary measures in this regard.
The BB organised two separate meetings with senior officials of the banks and the NBFIs in July 28 and 29 last year in which the central bank set the credit disbursement target under the refinance scheme, a BB official told New Age on Sunday.
In the meetings, the central bank also asked the banks and the NBFIs to sign participant agreement on mandatory basis in a bid to use the refinance fund.
The BB data showed that 31 banks and 10 NBFIs had so far signed participant agreements with the central bank as of February 2.
There are 56 scheduled banks and 31 NBFIs in the country. Of the scheduled banks, nine Islamic banks are not able to take fund from the refinance scheme as they cannot operate interest-oriented business due to their Shariah-based banking.
The recent central bank letter asked the banks and the NBFIs to sign participant agreements with the BB in the quickest possible time.
The BB launched the scheme in August 2009 in a bid to attract green and environment-friendly projects like solar home systems, bio-gas plants and industrial effluent treatment plants.
The BB official said that 20 banks borrowed only Tk 139.25 crore from the central bank’s revolving fund in the last four years and five months as the banks and the NBFIs considered the interest rate set by the BB ‘not lucrative enough’.
Under the scheme, banks and NBFIs can get loans at five per cent interest from the central bank and can charge a maximum 10 per cent interest on the loans given directly to their customers for the green projects.
But, if a bank or an NBFI gives the loans to the non-government organisations for the green products, clients will get the loans from the NGOs at up to 11 to 12 per cent interest.
According to the BB report, the 20 banks which disbursed loans under the refinance scheme are Trust Bank, Mutual Trust Bank, Prime Bank, Mercantile Bank, National Bank,
Commercial Bank of Ceylon, Eastern Bank, Standard Bank, Sonali Bank, AB Bank, Uttara Bank, ONE Bank, Southeast Bank, Rajshahi Krishi Unnayan Bank, IFIC Bank, BASIC Bank, Dhaka Bank, The City Bank, Rupali Bank and NCC Bank.
The official said that the central bank would arrange meeting with the banks which failed to disburse green fund in the shortest possible time so that they take measures in this connection.
The BB earlier said that it would show special consideration for the banks which would ensure disbursement of the loans under the scheme in giving permission for opening new branch, authorised dealer branch and foreign exchange house, the BB official said.
The BB will consider the rate of success of the banks in disbursing green fund when it will make CAMELS rating, he said.
He also said that successful banks would get priority in getting special liquidity support from the central bank.




Reader’s Comment

comments powered by Disqus
   

27 banks yet to disburse any green loan despite ceiling imposition

A solar panel is seen at a store on Dilu Road at Moghbazar in Dhaka last week. Twenty-seven scheduled banks are yet to disburse any loan under a Tk 200-crore refinance scheme for green products although Bangladesh Bank set a loan disbursement target of at least Tk 5 crore in a fiscal year under the scheme. — Sanaul Haque
Twenty-seven scheduled banks are yet to disburse any loan under a Tk 200-crore refinance scheme for green products although Bangladesh Bank set a loan disbursement target of at least Tk 5 crore in a fiscal year under the scheme. Full story

CPA wants end to long auction process by customs

The Chittagong Port Authority has again requested the National Board of Revenue for quick disposal of all auctionable and destroyable goods and containers left abandoned in the port for years, officials of the revenue board said. Full story

Refinance scheme application deadline extended for 4th time

The supervision committee for Tk 900-crore government refinance scheme for the affected small-scale investors on Sunday extended for the fourth time the deadline to get loan applications from merchant banks and brokerage houses till March 31. Full story

BTRC floats fresh tender for telco audit

A file photo shows a mobile phone balance reloading shop in Dhaka. The telecom regulator on Sunday floated a fresh tender for auditing the mobile phone companies with a condition that participating firms must have registration of the Institute of Chartered Accountants of Bangladesh. — New Age photo
The telecom regulator on Sunday floated a fresh tender for auditing the mobile phone companies with a condition that participating firms must have registration of the Institute of Chartered Accountants of Bangladesh. The Bangladesh Telecommunication... Full story

Banks require no prior BB approval

Bangladesh Bank said scheduled banks would not require prior approval from the central bank to hold collaterals on behalf of their overseas bank branches or correspondents in respect of foreign borrowing by local industrial enterprises. Full story

Dhaka stocks gain for 3rd day

Dhaka stocks advanced for the third trading session on Sunday with the DSEX hitting another fresh high at 4,787.66 points since its launch last year as investors went for buying in late trading. The benchmark general... Full story

Coordination real problem, says Muhith

A file photo shows finance minister AMA Muhith at a programme in Dhaka. 
— New Age photo
Finance minister Abul Maal Abdul Muhith on Sunday underscored the necessity of strong coordination among the concerned countries addressing the real problem to have a successful South-South cooperation. ‘The real problem of South-South... Full story

Mumbai opens monorail to ease traffic congestion

India’s financial capital unveiled its first monorail system on Saturday, a much-delayed project that aims to boost the city’s creaking transport infrastructure and ease traffic on its notoriously congested roads. The first phase of the transit ... Full story

US judge approves $8.5b Bank of America settlement

A US judge has approved an $8.5 billion settlement between Bank of America and a group of investors for losses on dodgy mortgage-backed securities whose collapse triggered the 2008 financial crisis. Justice Barbara Kapnick of the... Full story

6 members to contest for 4 posts, 2 quit race

Six members-turned-shareholders of Dhaka Stock Exchange will vie for four directorship posts of the bourse in the January 12 elections as two candidates have withdrawn their nomination papers, DSE officials said. The shareholders who have withdrawn... Full story

Mamun becomes GS of GEF B’desh Chapter

Standard Bank deputy managing director Mamun-Ur-Rashid has recently been elected general secretary of the Global Economist Forum Bangladesh Chapter, said a news release. Mamun was elected in the biannual general meetin... Full story

Tokyo investors eye Japanese earnings, US data this week

Tokyo investors will keep a close eye on US data this week and more Japanese corporate earnings with firms including Sony, Toyota and Panasonic due to report. After the Federal Reserve this week reduced its stimulus programme by... Full story

IMF warns over impact of global market turmoil

The International Monetary Fund on Friday warned emerging economies to shore up their defences amid challenging global turmoil that has sparked a broad-based sell-off in financial markets. An IMF spokesperson said they... Full story

Market Disclosures

S Alam Cold Rolled Steels The Board of Directors has recommended 13per cent cash dividend for the year ended on September 30, 2013. Date of AGM: March 29, 2014, Time: 11:00am, Venue: Safa Arcade, 94, Nawab Sirajuddowla Road, Chandanpura, Chittagong. Record... Full story
  • Online Poll


    Do you think that the government has successfully brought back normalcy in public life after the January 5 elections?

    • Yes
    • No
    • No comment
    Ajax Loader