The Bangladesh Bank on Wednesday said that women entrepreneurs, who took cottage, micro, small and medium enterprises (CMSME) loans considered classified, will not be eligible for receiving incentives anymore.
In a circular, the central bank laid out the criteria for determining the amount of incentive, stating that it will be calculated based on the total amount of all regular loans or investments and the period of utilization.
Additionally, if continuous or revolving loans or investments are renewed within the designated term, they will still be eligible for incentive benefits.
The Bangladesh Bank previously launched the "Small Enterprise Refinance Scheme for Women Entrepreneurs" with a fund of Tk3,000 crore.
This scheme aims to support women entrepreneurs by providing loans at a maximum interest/profit rate of 5%.
To further incentivize prompt loan repayment, both banks and financial institutions, along with their customers, have agreed to provide incentives at the rate of 1% each.
The primary goal of this initiative is to ensure that at least 15% of the net credit and advance status of the CMSME sector is disbursed to women entrepreneurs by 2024.
