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Bangladesh Bank (BB) Governor Mostaqur Rahman FCMA has directed commercial banks to ensure that genuine entrepreneurs receive the benefits of the Tk 60,000 crore special financing package quickly and without unnecessary complications.

"The benefits of this package must reach genuine entrepreneurs," he said while addressing a views-exchange meeting with banks and other stakeholders at the conference room of Bangladesh Bank's Sylhet office this afternoon.

The governor said the central bank had introduced the package to create new employment opportunities, revive closed industrial units and bring dynamism to overall economic activities.

Representatives of commercial banks, financial institutions, Sylhet Chamber of Commerce and Industry, women entrepreneurs and cottage, micro, small and medium enterprises (CMSMEs) attended the meeting, where participants discussed the challenges and prospects of implementing the financing package at the grassroots level.

Highlighting the high cost of bank borrowing, Mostaqur Rahman said the prevailing interest rates of 12 to 14 percent were creating considerable pressure on businesses.

"To provide relief to entrepreneurs and revive stalled industrial sectors, loans are being offered under the incentive package at special interest rates ranging from 4 to 8 percent," he said.

Of the total Tk 60,000 crore package, Tk 19,000 crore will come from the Bangladesh Bank's own funds, while the remaining Tk 41,000 crore will be mobilised from the surplus liquidity of commercial banks, he said.

The governor said the largest allocation of Tk 20,000 crore had been earmarked for restructuring and reviving closed industries, while Tk 10,000 crore would support agriculture and the rural economy.

Another Tk 1,000 crore has been allocated to help unemployed youths become entrepreneurs, he added.

Speaking about the central bank's new initiative for young people, the governor said the 'Uddyog' project had been launched this month to bring unemployed youths into the mainstream economy.

Under the initiative, 5,000 young people, with 10 selected from each upazila across the country, will receive support to become entrepreneurs.

He expressed confidence that the selection process would remain free from interference by banks or bureaucratic authorities.

On facilitating credit access for marginal and small farmers, the governor said farmers would be able to obtain loans under the Tk 10,000 crore agricultural refinancing schemes by using alternative collateral instead of conventional land-based security.

The meeting was chaired by Bangladesh Bank Sylhet Office Executive Director Khaled Ahmed. 

At the outset, Additional Director of the Banking Regulation and Policy Department of Bangladesh Bank's head office Salahuddin Tapadar made a presentation on the financing package.