SM Moniruzzaman; New Deputy Governor of Bangladesh Bank

The government has appointed Bangladesh Bank Executive Director SM Moniruzzaman to the position of Deputy Governor for a three-year term.

ধারাবাহিক প্রবৃদ্ধিতে ট্রাস্ট ব্যাংক

ধারাবাহিক প্রবৃদ্ধিতে ট্রাস্ট ব্যাংক: বাংলাদেশ সেনা কল্যাণ ট্রাস্টের ৬০ শতাংশ মালিকানায় ১৯৯৯ সালের ১৭ জুন অনুমোদন পায় বেসরকারি খাতের ট্রাস্ট ব্যাংক। একই বছরের ২৯ নভেম্বর অনুষ্ঠানিক যাত্রা করা ব্যাংকটি সেনাসদস্যদের আস্থা অর্জনের পাশাপাশি ভিন্নধর্মী

সেরা প্রবৃদ্ধিতে থাকা পাঁচ ব্যাংক

সেরা প্রবৃদ্ধিতে থাকা পাঁচ ব্যাংক: পর্যাপ্ত তারল্য সত্ত্বেও প্রত্যাশিত হারে ঋণ বিতরণ না হওয়ায় টান পড়েছে ব্যাংকগুলোর নিট মুনাফায়। এছাড়া খেলাপি ঋণের অব্যাহত বৃদ্ধিও ভুগিয়েছে খাতটিকে। এর মধ্যেও বেশকিছু ব্যাংক উচ্চ মুনাফা করেছে। শেয়ারবাজারে তালিকাভুক্ত

সিটি ব্যাংক ও আনোয়ার ল্যান্ডমার্কের মধ্যে চুক্তি স্বাক্ষর

সিটি ব্যাংক ও আনোয়ার ল্যান্ডমার্কের মধ্যে চুক্তি স্বাক্ষর: সিটি ব্যাংক লিমিটেড ও আনোয়ার ল্যান্ডমার্কের মধ্যে একটি চুক্তি স্বাক্ষরিত হয়েছে। চুক্তি অনুযায়ী, সিটি ব্যাংকের প্রায়োরিটি ব্যাংকিং ‘সিটিজেম’-এর গ্রাহকরা আনোয়ার ল্যান্ডমার্কের ফ্ল্যাট/বাড়ি কেনার ক্ষেত্রে বিশেষ সুবিধা পাবেন। সুবিধাগুলোর মধ্যে রয়েছে—

দেশের সব খাতে সুষ্ঠু বাজার তৈরিতে যাত্রা শুরু নতুন জোট বাফকমের

দেশের সব খাতে সুষ্ঠু বাজার তৈরিতে যাত্রা শুরু নতুন জোট বাফকমের: দেশে সামগ্রিক প্রতিযোগিতামূলক বাজার সৃষ্টির লক্ষ্যে একটি স্বাধীন, সার্বভৌম, দক্ষ ও কার্যকর প্রতিযোগিতা কমিশন গঠন ও সুষ্ঠু প্রতিযোগিতার সুযোগ সৃষ্টিতে বেসরকারি প্রতিষ্ঠান ও তাদের প্রতিনিধিদের সঙ্গে সম্মিলিতভাবে কাজ করার লক্ষ

RESTRICTION ON EXTENDING THE TERM TO MATURITY OF A TERM LOAN: BRPD Circular No. 15 dated September 23, 2012

The term to maturity of a term loan may be extended subject to the following conditions and restrictions:

a) The loan must be performing ( Unclassified: Standard or SMA )

b) The decision should be made at the level where the loan was originally sanctioned

c) The maturity date may be extended by a period of time not exceeding 25% of the current remaining time to maturity

SPECIAL CONDITIONS FOR LOAN RESCHEDULING. BRPD Circular No. 15 dated September 23, 2012

a) If a loan account of an export-oriented garments industry or knit garments factory becomes adversely classified due to stock lot, the loan may be rescheduled without the required down payment. However, the sales/export proceeds from the stock lot must be used to repay the loan. If any such loan account remains unadjusted even after repaying the loan with sales/export proceeds of the stock lot, the loan may be rescheduled without the required down payment based on recovery probability and banker-customer relationship.

The above mentioned facilities will not be applicable to forced loan, project loan or term loan in this sector. Only such forced loans, which are backed up with stock lot may avail such facilities. After rescheduling, new loan facility or loan expansion application will be considered only after paying at least 7.5% of the “Outstanding Balance”. New loan facility from other banks is subject to the obtaining of NOC from the rescheduling bank.

b) If a loan account of fertilizer importers becomes adversely classified due to delay in government subsidy receipts and payment of subsidy bill, the loan may be rescheduled without the required down payment. However, the receivable government subsidy must be used to repay the loan. If any such loan account remained unadjusted even after repaying the loan with a government subsidy, the loan may be rescheduled without the required down payment on the basis of recovery probability and banker-customer relationship.

c) For rescheduling as above no prior approval of Bangladesh Bank will be required; unless there is a requirement from Bangladesh Bank in the context of large loan or related to the director of the bank.

CLASSIFICATION AND INTEREST SUSPENSE OF RESCHEDULED LOANS: BRPD Circular no. 15, dated September 23, 2012

Rescheduled loans may be put into any category of classification by the bank considering the existing financial soundness and repayment capacity of the borrower, subject to the accumulated amount in interest suspense account not being taken into income account, unless actually realized. Upon classification, applicable provisions have to be maintained, according to the Master Circular: Loan Classification and Provisioning (BRPD Circular No. 14/2012). These classifications will be reviewed by Bangladesh Bank inspectors. However, regardless of the classification category into which the loan is placed by the bank, a rescheduled loan will not be considered a "defaulted loan," and the borrower will not be considered a "defaulted borrower" as these terms are understood in the context of section 27KaKa(3) [read with section 5(GaGa)] of the Banking Companies Act, 1991, unless such loan has not been repaid after reaching the maximum number of allowable reschedulings. Interest accrued on rescheduled loans will be subject to the accounting treatment that is appropriate for the classification category of the loan, in line with the Master Circular: Loan Classification and Provisioning (BRPD Circular No. 14/2012) just as if the loan had not been rescheduled.

NEW LOAN FACILITY AFTER RESCHEDULING:

As per BRPD circular no. 15 dated September 23, 2012

a) The borrower whose credit facility has been rescheduled may avail a new loan facility or enhance existing credit facility subject to fulfillment of the following conditions:-

i. The borrower must pay at least 15% of the “Outstanding Balance” (outstanding amount after excluding the down payment on rescheduling) to avail any further credit facility from the rescheduling bank.

ii. In case of borrowing from other banks, the same rule will be applicable, i.e. the borrower must pay at least 15% of the “Outstanding Balance” (outstanding amount after excluding the down payment on rescheduling), then, will be allowed to take regular facility from other banks subject to the submission of No Objection Certificate (NOC) from the rescheduling bank or financial institution.

b) Exporters may be granted further credit facility (after being identified as not-a-willful defaulter), if required, subject to settling at least 7.5% of the “Outstanding Balance” (outstanding amount after excluding the down payment on rescheduling). They will be allowed to take the regular facility from other Banks subject to the submission of a NOC from the rescheduling bank or financial institution.

c) Prior approval of Bangladesh Bank shall have to be obtained if the loan is related to the director of any bank.

d) Information on such rescheduled loan accounts shall be reported to the Credit Information Bureau (CIB) of Bangladesh Bank.

Downpayment requierment for rescheduling in Bangladesh

As per BRPD circular no. 15, September 23, 2012, Down payment requirement for rescheduling is as under:

DOWN PAYMENT OF TERM LOANS:

 a) Application for first time rescheduling will be taken into consideration upon receiving cash payment of at least 15% of the overdue installments or 10% of the total outstanding amount of loan, whichever is less;

 b) Application for second time rescheduling will be considered upon receiving cash payment of minimum 30% of the overdue installments or 20% of the total outstanding amount of loan, whichever is less.

 c) Application for rescheduling third time will be considered upon receiving cash payment of minimum 50% of the overdue installments or 30% of the total outstanding amount of loan, whichever is less.

 d) The rate of down payments for Short-term Agricultural and Micro-Credit will be same as above.

Explanation: If any loan is rescheduled for one time before issuance of this circular, the conditions set forth in this circular for second time rescheduling of such loans shall be applicable. Likewise, the terms for third time rescheduling as per this circular for rescheduling of any loan, which has already been rescheduled twice or more shall be applicable.

DOWN PAYMENT OF DEMAND AND CONTINUOUS LOAN:

a)      If a Demand or Continuous Loan is converted into a Term loan, first rescheduling may take place against down payment on the basis of loan amount in the following manner.

Amount of Overdue Loan	Rate of Down payment
Up to Tk.1.00 (one) crore	15%
Above Tk.1.00(one) crore and up to Tk.5.00(five) crore	10% (but not less than Tk.15.00 lac)
Above Tk. 5.00(five) crore	5% (but not less than Tk.50.00 lac)

Application for rescheduling will be taken into consideration only after the amount for the down payment is paid in cash as narrated in 01(c).

b) If any Continuous or Demand Loan is rescheduled for the second time (first time after being converted partly or wholly into Term Loan) and the repayment installments are fixed, the application for rescheduling of such loans shall be considered upon receiving cash payment of minimum 30% of the overdue installments or 20% of the total outstanding amount of loan, whichever is less. Similarly, for third rescheduling (second time after being converted partly or wholly into Term Loan) minimum 50% of the overdue installments or 30% of the total outstanding amount of loan, whichever is less, shall have to be repaid in cash.