Sunday, 17 October, 2021

Industrial loans surge as economy recovers

  • Staff Correspondent
  • 23 September, 2021 12:00 AM
  • Print news

The industrial loan disbursement has increased by 44 percent during the first half of 2021 as the economy shows signs of recovery from the pandemic shocks.

Bangladesh Bank’s latest report showed that in the April-June period of 2021, the banks disbursed loans of Tk1072.41 billion in the manufacturing sector compared to Tk742.57 billion a year ago.

The increase is Tk 329.84 billion or 44 percent.

The central bank report said there had been an overall increase in economic activities in January-June 2021 compared to the same period last year.

The banks disbursed Tk1982.08 billion in January–June period 2021 increasing by Tk322.89 billion or 19.46 percent from a year ago. On the other hand, the recovery of industrial loans also improved during April-June quarter of 2021.

An amount of Tk822.21 billion industrial loans were recovered during the period compared to Tk651.35 billion a year ago, the data showed.

The banks’ industrial loan recovery increased by more than 28 percent during the period.

Despite the increase in debt recovery, overdue loans increased by 15 percent to Tk957.73 billion in the second quarter of 2021.

Besides, in the first six months of this year (January-June), the industrial loans were recovered Tk 1670 billion. In the same period of 2020, the industrial loans recovery was Tk 423.25 billion.

Compared to the first quarter of this year, the term loan disbursement increased by 11.81 percent in April-June quarter.