Saturday, 4 December, 2021

CDC Group to provide $30m loan to Prime Bank

  • Staff Correspondent
  • 28 October, 2021 12:00 AM
  • Print news

CDC Group, the UK’s development finance institution and impact investor, has committed $30 million trade finance loan to Prime Bank Limited.

The loan will enhance Prime Bank ability to meet local corporates’ US dollar funding needs, bolstering necessary import and export activities, and supporting the continued growth of Bangladesh’s economy, said a press release.

CDC’s loan facility will provide Prime Bank with a stable source of much-needed trade finance funding.

This liquidity will enable the bank to extend more foreign currency trade credit at longer tenors to local businesses, and the facility is expected to generate up to US$60 million of additional trade every year across key economic sectors such as manufacturing, ready-made garments, food and agriculture.

 M Rehan Rashid, Country Director for Bangladesh, CDC Group, said: “CDC’s partnership with Prime Bank, demonstrates our joint goal of increasing financial inclusion and providing agile counter-cyclical funding in response to the funding gap in the market.”

Hassan O. Rashid, Managing Director and CEO of Prime Bank, said: “The partnership with CDC is indeed a very timely initiative. This collaboration shall enable Prime Bank to address the need of Corporate and SME clients in the post-Covid business environment.”