MoF suggests housing loan hike for public servants
Wednesday, 2 January 2008
FE Report
The Ministry of Finance (MoF) said Monday it will pursue the higher policy makers of the government to get approval of a new guideline that has suggested a hike of housing loan for public servants, sources said.
This was decided at a meeting, chaired by a MoF joint secretary. It has approved the new guideline as suggested by the Ministry of Establishment to raise the ceiling of housing loan to maximum Tk 3.2 million from existing Tk 120,000.
The meeting also proposed formation of a government employees' welfare board under the Ministry of Establishment to perform as a regulatory body of the new guideline, sources added.
Finance and planning adviser Mirza Azizul Islam is expected to raise the proposals at the council of advisers meeting for approval.
The establishment ministry said it is imperative to revise the ceiling as the existing ceiling is too low to serve the purpose it is intended for.
The existing housing loan ceiling of Tk 120,000 was raised from 80,000 in 1996 for all officials and employees irrespective of their ranks and pay scales.
According to the establishment ministry proposals, ceiling of housing loan for top category has been fixed at Tk 3.2 million after putting the existing 20 pay slabs of the public officials and employees in four categories.
For the second and third categories, the proposals on the ceilings are Tk 2.4 million and Tk 2.0 million. The ceiling of bottom category has been proposed at Tk 1.2 million
At today's meeting the MoF also discussed matter relating to mobilisation of fund, fixation of interest rate and criteria for release of loan. It has, however, decided to follow the central bank existing policy in this regard, sources said.
The Ministry of Finance (MoF) said Monday it will pursue the higher policy makers of the government to get approval of a new guideline that has suggested a hike of housing loan for public servants, sources said.
This was decided at a meeting, chaired by a MoF joint secretary. It has approved the new guideline as suggested by the Ministry of Establishment to raise the ceiling of housing loan to maximum Tk 3.2 million from existing Tk 120,000.
The meeting also proposed formation of a government employees' welfare board under the Ministry of Establishment to perform as a regulatory body of the new guideline, sources added.
Finance and planning adviser Mirza Azizul Islam is expected to raise the proposals at the council of advisers meeting for approval.
The establishment ministry said it is imperative to revise the ceiling as the existing ceiling is too low to serve the purpose it is intended for.
The existing housing loan ceiling of Tk 120,000 was raised from 80,000 in 1996 for all officials and employees irrespective of their ranks and pay scales.
According to the establishment ministry proposals, ceiling of housing loan for top category has been fixed at Tk 3.2 million after putting the existing 20 pay slabs of the public officials and employees in four categories.
For the second and third categories, the proposals on the ceilings are Tk 2.4 million and Tk 2.0 million. The ceiling of bottom category has been proposed at Tk 1.2 million
At today's meeting the MoF also discussed matter relating to mobilisation of fund, fixation of interest rate and criteria for release of loan. It has, however, decided to follow the central bank existing policy in this regard, sources said.