Dhaka Bank PLC and SME Foundation have signed an agreement to provide low-cost loans to Cottage, Micro, Small and Medium Enterprise (CMSME) businesses.

The agreement was signed recently at a renowned hotel in the capital, according to a press release.

SME Foundation will provide Tk450 crore from the government’s stimulus package and own sources under their revolving loan facility to the bank, which will be then disbursed to the entrepreneurs at a subsidised rate of 6%.

AKM Shahnawaj, acting managing director of Dhaka Bank PLC, and Salahuddin Mahmud, managing director (additional charge) of SME Foundation, signed the agreement on behalf of their organisations.

Also, Md Mahbubur Rahman Palash, head of MSME and Emerging Business Division of the bank, was present during the agreement signing ceremony.

Professor Md Masudur Rahman, chairman of the SME Foundation, presided over the agreement signing ceremony while Zakia Sultana, senior secretary, Ministry of Industries; Md Abdur Rahman Khan FCMA, secretary, Ministry of Finance; and high officials of different banks and NBFIs were also present in the signing ceremony.