Regulator to revise SME loan guideline

The banking regulator will revise the SME loan guideline to redefine the collateral requirement for small businesses, Bangladesh Bank Governor Fazle Kabir said yesterday.

Kabir spoke at the inaugural session of Banker-SME Women Entrepreneur Gathering and Product Exhibition Fair-2017 held in Dhaka.

“We mean collateral as asset; but training, education and experience should also be considered as collateral in case of new entrepreneurs.”

He also urged banks to play a vital role in creating new entrepreneurs by considering their training and education as collateral for loans up to Tk 25 lakh.

The SME and Special Programmes Department of Bangladesh Bank orgnaised the fair on the premises of Bangladesh Mohila Samity.

Meher Afroze Chumki, state minister for women and children affairs, attended the event as the chief guest.

He emphasised creating new entrepreneurs instead of creating post for employment. “New entrepreneurs will generate employment automatically.”

SK Sur Chowdhury, deputy governor of Bangladesh Bank, asked the banks to give more focus on small and medium enterprises and extend financial support to them.