SoEs\' debts to banks decline by Tk 17b

Syful Islam | Published: August 08, 2016 00:00:00 | Updated: February 01, 2018 00:00:00

The debt burden of state-owned enterprises (SoEs) to five state-owned commercial banks (SoCBs) declined by Tk 17.05 billion as of June last compared to the previous month's figure, statistics show.
In an overall improvement in their debt-servicing status, the volume of classified loans of the 18 SoEs also declined by Tk 67 million during the same time.Â Â
Now the total outstanding loans of the perennially loss-incurring public sector enterprises stand at Tk 72 billion and the classified loans at Tk 1.57 billion.
The central bank recently apprised the ministry of finance (MoF) about the latest debt position of SoEs to the state-owned banks.
A senior official attributed the change to "continuous persuasion" by the ministry and the banks for which the authorities of many of the SoEs agreed to pay back the loans in instalments.
"It was reflected in June as outstanding loans of SoEs declined in each of the five banks in that month," he said.
He also said since most of the SoEs incur losses year after year, they fail to repay the loan in big amount.
Statistics show that the outstanding loans of SoEs in June in Sonali Bank declined by Tk 2.755 billion, in Janata Bank by Tk 7.746 billion, Agrani Bank by Tk 4.89 billion, in Rupali Bank Tk 1.03 billion, and in BASIC Bank Tk 624 million.
Figures show that Bangladesh Textile Mills Corporation (BTMC) has a total of Tk 251.90 million in outstanding funded liabilities to the SoCBs and the entire amount has become classified.
Bangladesh Jute Mills Corporation (BJMC) has Tk 7.344 billion in outstanding loans of which Tk 116.70 million is classified while Bangladesh Steel and Engineering Corporation (BSEC) has Tk 388.20 million outstanding and Tk 4.0 million classified loans.
Bangladesh Sugar and Food Industries Corporation (BSFIC) has some Tk 40.68 billion in outstanding loans, and Bangladesh Chemical Industries Corporation (BCIC) Tk 12.27 billion unpaid loans of which Tk 836.50 million is classified.
The state-owned electricity, gas and water service providers have Tk 6.60 million outstanding loans, transportation-and communications-sector organisations have Tk 851.20 million, commercial organisations have Tk 143.50 million, agriculture- and fisheries-sector-organisation BADC (Bangladesh Agricultural Development Corporation) has Tk 9.973 billion, and service-sector organisations have Tk 123.60 million.
syful-islam@outlook.com