The central bank is giving special opportunity to the flood victims to repay their loans

The central bank has given special facility to the flood affected farmers and CMSME entrepreneurs to repay the loan installments. August installments of short-term agriculture and CMSME sector term loans in these areas can be repaid after three months.

On Sunday (September 1), the Banking Regulations and Policy Department of Bangladesh Bank has issued a circular in this regard.

The central bank said borrowers affected by the recent floods are finding it difficult to repay or adjust their loans. In order to continue the normal economic activities of the affected borrowers, it has been asked to ease the repayment or adjustment of the existing unclassified (non-compensatory) short-term agriculture and CMSME loans as on July 1 of other flood-affected areas identified by the Ministry of Disaster Management and Relief, including Feni, Noakhali, Laxmipur, Comilla and Chittagong. .

Short-term agriculture and CMSME sector term borrowers can repay the loan installments for the month of August to October within three months of the expiry of the respective loan period.

It has been asked to increase the adjustment period of the ongoing loans of the CMSME sector between August 2024 and October 2024.

No penalty interest, additional interest, excess profit, late fee penalty (by whatever name called) other than regular interest shall be levied or imposed on late payment. This directive will be effective immediately.