Dhaka Bank signs participatory deal with central bank

The Dhaka Bank Limited signed a participatory agreement with the Bangladesh Bank to disburse Tk15,000 crore in loans as part of revolving refinance scheme to support implementation of the stimulus package for large industries, said a media statement issued on Monday.

Md Masud Biswas, executive director of Bangladesh Bank and Emranul Huq, managing director and chief executive officer of Dhaka Bank signed the agreement on behalf of their respective organisations.

Among others, Md Shahidul Islam, general manager of Bangladesh Bank, Md Aminur Rahman Chowdhury, its deputy general manager and Md Abdul Matin, senior executive vice president and head of CRM division at Dhaka Bank were also present.

A total of 14 banks signed this agreement with the central bank to implement this government announced stimulus package.

In a bid to foster economic recovery, the government has declared a Tk30,000 crore stimulus package for large industries and the service sector entities affected by the novel coronavirus. The banks will arrange the funds from their own sources.

To support implementation of the package, the Bangladesh Bank has formed a Tk15,000 crore revolving refinance scheme.

Under this scheme, the lenders will be entitled to get funds from the central bank's refinance scheme at 4 percent interest.