BB asks banks to suspend loan classification till June

FT ONLINE

Bangladesh Bank has asked commercial banks to introduce a six months moratorium on loan repayments in a bid to shore up the economy from the coronavirus fallout.

The central bank issued a circular in this regard today.

It means the status of a loan till June 30 will be the same as it was on January 1 even if a borrower fails to repay the banks a single penny.

However, the central bank of Bangladesh is going to announce a bailout programme soon aiming to facilitate the country’s foreign trade that faces a setback following the coronavirus outbreak.

Under the programme, businessmen will get a series of benefits –export proceed repatriation, sublimation of bill of entry and extension of EDF tenure – for six months, according to officials. They said the businessmen will avail such facilities until September 30, 2020