Market digest

BB extends stimulus fund deadline for CMSME

Staff Correspondent

27 November, 2020 12:00 AM printer

The Bangladesh (BB) has extended the deadline for loan disbursement to CMSME under its Tk 200 billion stimulus package to help Covid-19 pandemic affected businesses until December 31 as some lenders have failed to disburse the funds in time.

Earlier the central bank set deadline for this loan disbursement till the end of November.

SME and special program department of BB issued a circular on Thursday to the top executives of all banks and non-bank financial institutions (NBFIs) in this regard.

 Local banks have so far disbursed around 40 percent loans under the package to beleaguered borrowers in the cottage, micro, small and medium enterprise (CMSME) sector.

However, loans disbursement of stimulus package for CMSME sector yet to get pace as banks and NBFIs are very much cautious disbursement loans in this sector in account of present situation.

As a result Bangladesh banks has to extended the loans disbursement deadlines again and again while almost amount of loans under stimulus package has disbursed at large industries.

Former BB governor Dr. Saleuddin Ahmed said cottage, micro, small and medium enterprise have been keeping an important role in the economy in terms of employment generation and supporting the local economy.