Bangladesh Bank has instructed financial institutions (FIs) to increase credit flow to environment-friendly sectors by taking support from the revolving funds of the central bank.
The central bank gave the instruction during a meeting with chief executive officers (CEOs) of all FIs. Deputy Governor SK Sur Chowdhury chaired the meeting.
BB has constituted a Tk2bn revolving fund with its own fund to finance renewable energy and environment-friendly schemes through FIs. It has also a separate revolving fund of Tk4bn financed by the Asian Development Bank (ADB) to provide fund for setting up of environment-friendly brick-kilns.
FIs are reluctant to use the revolving funds of the central bank, reports BSS. One out of a total of 29 FIs has signed agreement with the central bank to use the revolving funds.
