Central bank releases first SME credit policy
Disbursement target set at Tk 240b this year
FE Report
The central bank released, for the first time, a small and medium enterprise (SME) credit policy and programmes Thursday with a disbursement target of around Tk 240 billion for the ongoing calendar year.
Bangladesh Bank (BB) Governor Atiur Rahman announced the policy at a discussion with chief executive officers and managing directors of the commercial banks held at Seagul Hotel in Cox’s Bazar Thursday night with BB Deputy Governor Murshid Kuli Khan in the chair.
The new policy has focused on encouraging more women entrepreneurs in business and investment across the country.
The central bank announced to set up a three-tier monitoring system to ensure growth of the SME sector in the country.
Under the monitoring system, the central bank headquarters, its nine branch offices across the country and head offices of all commercial banks will review the implementation of SME credit programmes regularly.
Of the total target, the state-owned commercial banks and financial institutions, according to the central bank statistics, will disburse Tk 44.97 billion in 2010.
Twenty-nine private commercial banks will distribute Tk 174.78 billion while nine foreign commercial banks will disburse Tk 7.07 billion to the entrepreneurs.
Besides, the country’s non-banking financial institutions have made commitment to disburse Tk 13.13 billion as SME loans during the current calendar year.
The loans will be given to more than 60 SME sectors such as light engineering, handicraft, flower, fish processing, handloom, rice-mill, jamdani, Rajshahi silk, khadi, bio-gas and compost fertiliser.

Credit Mangement Policy by Bangladesh Bank and Its Implementation by Bank Asia Limited

In: Business and Management

Credit Mangement Policy by Bangladesh Bank and Its