BB extends CMSME loan disbursement deadline until March

Bangladesh Bank on Sunday extended the deadline for CMSME loan disbursements under its Tk20,000 crore stimulus package until the end of March as some lenders have failed to disburse the funds in time.

The banking regulator instructed the respective banks and non-bank financial institutions to fulfil the loan disbursement target within the new timeline instead of the previous deadline of December.

The BB also asked the lenders to submit a plan to disburse the loan among cottage, micro, small and medium enterprises (CMSMEs), within January 17.

On April 13, Bangladesh Bank announced the stimulus package in order to help the CMSME sector tackle the economic fallout of Covid-19.

The working capital will be given at a 9 percent interest rate.

Of the interest rate, 4 percent will be borne by the borrowers, while 5 percent by the government, according to a guideline.