BB, SME Foundation sign deal on Tk 500m loan scheme

FE Report | Wednesday, 13 February 2019

The SME Foundation with support from Bangladesh Bank (BB) will provide the small and medium enterprises (SMEs) with low-cost loans through different financial institutions.
In this regard, the central bank will provide the Foundation Tk 500 million for the special credit scheme.
To this effect, the BB and the SME Foundation signed an agreement at the BB headquarters in the city on Tuesday, said a statement.
BB's SME Division General Manager Shaikh Md Salim and SME Foundation Managing Director Md Safiqul Islam signed the agreement on behalf of their respective sides.
BB Governor Fazle Kabir, Deputy Governor SM Maniruzzaman and senior officials from the organisations were present.
Under the agreement, the Foundation will distribute the loans through different financial institutions, including Brac Bank, Mututal Trust Bank, Bank Asia and Midas Financing Limited.
The managing directors and other top officials from all the involving agencies also were present at the agreement signing ceremony.
The credit fund will be made available for entrepreneurs of various categories across the country to enhance their respective businesses.
Women entrepreneurs will also be considered under the credit scheme.
Speaking on the occasion, BB Governor Fazle Kabir pledged to increase the fund subject to ensuring proper distribution and utilisation of the fund.
The SME Foundation has been supporting entrepreneurs through its specialised credit programme since 2009. Under the programme, around 1,700 entrepreneurs, of those 35 per cent women, have availed of the credit facility till December 2018.
The small and medium businesses receive the fund at an interest rate of 9.0 per cent.

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