The Funding Company of Bangladesh (ICB) has got approval from the Bangladesh Bank for a Tk3,000 crore mortgage at a diminished rate of interest of 4%, down from the initial 10%.
Two-thirds of the mortgage will likely be utilised for repaying the corporation’s current debts, whereas the relaxation amount will likely be invested in the capital market, stated ICB Chairman Abu Ahmed confirming the solutions this day (3 December).
Earlier on 13 November, the manager provided a sovereign guarantee to facilitate the mortgage.
Per this guarantee, the Bangladesh Bank issued a formal letter to ICB on 27 November, sanctioning the Tk3,000-crore mortgage at a 10% rate of interest with a tenure of 18 months.
ICB later told the Bangladesh Bank that the 10% rate of interest turn into as soon as unsustainable for the institution and requested a reduction to 4%.
Following the proposal, the central monetary institution well-liked the mortgage at the revised rate of interest.
The monetary succor objectives to give a improve to ICB’s skill to meet its duties whereas bolstering investments in the capital market, aligning with broader financial stability goals, ICB Chairman Abu Ahmed stated.
