BB, BRAC Bank ink deal on refinancing facilities for migrant workers, CMSEs

Bangladesh Bank (BB) and BRAC Bank have signed an agreement to provide refinancing facilities to the cottage, micro and small enterprises (CMSEs) run by returnee migrant workers, unemployed youth, and rural entrepreneurs and women business owners.

BRAC Bank has signed an agreement with Bangladesh Bank to become Participating Financial institution under the ‘Supporting Post Covid-19 Small Scale Employment Creation Project’ funded Asian Development Bank (ADB), according to a press statement.

Nurun Nahar, executive director and project director, Supporting Post Covid-19 Small Scale Employment Creation Project, Bangladesh Bank; and Selim RF Hussain, managing director & CEO of BRAC Bank, signed the agreement at Bangladesh Bank Head Office in Dhaka on Wednesday.

Abu Farah Md Nasser, Deputy Governor, Bangladesh Bank, was present during the signing ceremony, among others.

Under the agreement, BRAC Bank and other participating banks and financial institutions will avail of refinancing facilities amounting to Tk 1,290 crore from Bangladesh Bank and provide subsidised interest credit to the businesses.

An entrepreneur can avail of up to Tk 50 lakh loan for five years.

Welcoming the refinancing facility, Selim RF Hussain, said: "We appreciate Bangladesh Bank for making BRAC Bank an implementation partner of ADB-funded Supporting Post Covid-19 Small Scale Employment Creation Project. As a CMSME-focused bank, BRAC Bank is committed to ensuring easy access to finance for grassroots entrepreneurs.”