Borrowers of non-banking financial institutions (NBFIs) can now avail an extended loan repayment facility similar to that enjoyed by bank customers up till December this year.
As per a Bangladesh Bank notice issued on Tuesday, borrowers of NBFIs struggling to repay their loans can avail the relaxed facility considering the recent resurgence of the Covid-19 pandemic and flooding in northern and north-eastern parts of the country.
Borrowers will be able to avoid falling into the default loan category by repaying half of the loan payable for the April-December period.
Clients will have to pay half of the payable amount every quarter during the period mentioned by the central bank.
The relaxed facility will be provided to borrowers who are facing a crisis to pay back their installments due to the pandemic.
However, businesses that currently have a weak cash-flow will not be allowed to get the support.
On the other hand, the NBFI-customer relationship can also be leveraged to extend the support.
Such conditions will not be applicable for flood-hit borrowers in the cottage, micro, small-and-medium enterprise, and agriculture sectors.
In addition, NBFIs will not be allowed to transfer any unrealized interest against loans enjoying the deferral support as income.
