Dhaka: Bangladesh Bank (BB) has launched a guideline for banks to provide loan rescheduling facilities for borrowers whose businesses suffered due to uncontrollable circumstances during Sheikh Hasina's regime.
According to Bangladesh Sangbad Sangstha, the central bank issued a circular on Tuesday night stating that borrowers may reschedule classified loans for up to 10 years by making just a 2 percent down payment. The circular outlined that eligible borrowers will be granted a grace period of up to two years, although the down payment must be made in cash and previously paid instalments cannot be counted towards it. Applications for this facility must be submitted by 31 December 2025.
The loan rescheduling facility specifically excludes loans that were created through fraud, forgery, or irregularities. As per the central bank's 2022 master circular, rescheduling previously required a minimum down payment of 2.5-4.5 percent and was limited to a maximum tenure of eight years.
Under the new guidelines, borrowers who are rescheduling loans for the third time or more will need to make an additional 1 percent down payment. The repayments must be carried out either monthly or quarterly, based on the bank-client agreement. Furthermore, the circular clarified that specially rescheduled loans must be categorised as Special Mention Accounts (SMA), and banks are required to maintain proper provisioning against them.