Govt to inject more funds into House Building Finance

The government is going to inject more funds into Bangladesh House Building Finance Corporation (BHBFC) to enable an increased number of people to have homes of their own, said Finance Minister AHM Mustafa Kamal yesterday.

As per the plan, paid up and authorised capital of the state corporation will be increased to Tk 500 crore and Tk 1,000 crore respectively from the existing Tk 110 crore, he said at the launching of the corporation's online loan repayment system at Hotel Purbani International Ltd in Dhaka.

"This is based on present demand and will be executed after a law is enacted," he said.

"The House Building Finance Corporation Bill (Amendment) 2021" was placed in parliament in June this year to increase the corporation's funds and expand its service coverage.

The initiative is aimed at ensuring shelter for every person in Bangladesh, said Kamal. He also expressed hope that all sectors would be gradually digitalised in Bangladesh.

Mohammad Muslim Chowdhury, comptroller and auditor general of Bangladesh, said the corporation's instalment system was innovative and low cost.

He suggested developing another online loan application system which would do away with physical meetings between the lender and clients up until the finalisation of loans.

Abdur Rauf Talukder, senior secretary to finance division, said almost all public finance-related fields, from salary disbursement to purchases, have been digitalised.

Earlier encashment of bank cheques used to take a couple of week but it was now possible instantly through digitalisation, he said.

The online system makes use of Sonali Bank's Sonali eSheba payment gateway. Depositors get instant confirmation of transfers and the latest balance through SMS.

The event was presided over by Md Afzal Kaim, the corporation's managing director, while Sheikh Mohammad Saleem Uallah, secretary to financial institutions division, and Md Salim Uddin, the corporation chairman, also spoke.