FBCCI seeks relaxed loan classification until Dec

The country's apex trade body today urged the Bangladesh Bank to take steps so that existing borrowers are not classified as defaulters until December this year.

"Businesses are still going through difficult times due to Russia's invasion of Ukraine and the ongoing instability in the global market," said Md Jashim Uddin, president of the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI).

He came up with the remark at a press briefing after a meeting with BB Governor Fazle Kabir at the central bank headquarters in the capital.

"We have requested the Bangladesh Bank to revisit the existing loan classification policy so that businesses don't fault on loan payments," said Jashim.

The FBCCI requested the BB to provide a long-term fund to a bank in the form of a refinancing scheme in order to allow it to lend to businesses since borrowing for a short-term period does not help borrowers.

Jashim also urged the central bank to raise the size of the export development fund to $10 billion from $7.5 billion now.

"This is because the price of raw materials has gone up globally and many buyers are making deferred payments.