BB implements Tk 250b loan package for small entrepreneurs 

The small entrepreneurs in the cluster-based manufacturing industries will get 5-year term loans with flexible conditions from the Tk 250 billion special refinance scheme of Bangladesh Bank. 

The central bank signed a loan deal with 46 banks to implement the scheme to help the cottage and small industries recover from the Covid-19 pandemic shock. 

The entrepreneurs will borrow from the scheme at 7 percent interest rate for a 5-year term, while the banks will get funds from the BB at 2.0 percent interest for a 3-year term.  

The BB has specified that a minimum of 70 percent of the total disbursed loans should be distributed to the manufacturing and service sector and a maximum of 30 percent in the business sector. 

Out of this, a minimum of 75 percent has been asked to be distributed among cottage, micro, and small entrepreneurs and a maximum of 25 percent among medium entrepreneurs.

The cluster list includes- Agriculture, Food Processing and Agricultural Machinery Manufacturing Industry, Readymade Garment Industry, Knitwear, Design and Decoration, ICT, Leather and Leather Products Industry, Light Engineering, Jute, and Jute Products Industry. 

Besides, the priority clusters include - plastics and other synthetic industries, tourism, home textiles, renewable energy (solar power), Automobile manufacturing and repairing industries, handlooms, handicrafts, energy-efficient appliances (LED, CFL bulb manufacturing), Electronic appliances construction industry, electronic material development industry, jewellery, Toy Manufacturing, Cosmetics & Toiletries Industry, Agar Industry, Furniture, IT, Computer and Television Service Sector.  

Under these clusters, women entrepreneurs, entrepreneurs with special needs and entrepreneurs affected by any disaster (such as river erosion, flood, cyclone, flood, drought, monsoon, fire, earthquake, building collapse, epidemic like Covid-19) are covered under this scheme on a priority basis.