Govt to address loan default culture, says Kamal

Special Correspondent

18th February, 2019 02:37:39 printer

Finance Minister AHM Mustafa Kamal on Sunday assured lawmakers of addressing the loan default culture in the country.

“I want to assure lawmakers that the number of loan defaulters will not increase. We want to come out from the loan default culture,” he told parliament while responding to a call-attention notice under Rule 71 of the Rules of Procedure.

Jatiya Party lawmaker Mashiur Rahman Ranga placed the notice to draw the attention of the House over the interest rate of private banks against industrial loan.

Responding to the notice to the matters of urgent public importance, the minister said the issue is true partially.

“I’ve already talked to the bank and financial authorities. Some 21 banks have already reduced interest rate to a single digit,” he said, adding that classified loan will not be increased.

In the notice, Ranga said that private banks did not reduce its interest rate to a single digit.

Though some 11 banks in January this year claimed that they provided loan with nine percent interest, businesses claimed that some 11 and 13 interest is being realised, Ranga said.

“None of the banks are giving loan with nine percent interest,” he said, adding that the businesses allege that information is being sent to Bangladesh Bank, hiding the actual interest rate.

“The matter has also been portrayed in the report by the Bangladesh Bank in January. The report says that private banks have not cut down interest rates to a single digit,” he said.