DHAKA, June 8, (V7N) – Bangladesh Bank has introduced a Tk 1,000 crore revolving refinance scheme aimed at promoting the establishment of green industries and environmentally sustainable factory buildings across the country. The fund has been created from Bangladesh Bank's own resources to facilitate investments in eco-friendly industrial infrastructure.
Under the scheme, participating financial institutions will receive refinance support at an interest rate of 2 percent per annum, while the maximum lending rate for customers has been capped at 5 percent. The refinance tenure will range from three to ten years, with a grace period of up to one year. The facility is available to all conventional banks, Islamic banks, and financial institutions.
To qualify for financing, borrowers must not be loan defaulters according to CIB records and must maintain a minimum debt-equity ratio of 70:30. The maximum refinance limit for an individual borrower has been fixed at Tk 100 crore. For green factory building projects, Bangladesh Bank will recognize certifications from LEED, EDGE, BEEER, and GreenARCH.
The circular prohibits participating financial institutions from imposing any hidden charges or additional fees on borrowers beyond applicable government taxes and duties. State-owned banks are automatically eligible, while private and foreign commercial banks must maintain a classified loan ratio below 10 percent.
Bangladesh Bank said the initiative is aligned with several national and international development commitments, including the Perspective Plan of Bangladesh, Bangladesh Delta Plan 2100, and the Sustainable Development Goals (SDGs). The central bank warned that submission of false information may result in financial penalties and exclusion from the refinance programme.
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