Facilitate loans for entrepreneurs: Barua
Banks should ease the terms and conditions for loans and reduce the interest rate to a single digit for local entrepreneurs, to boost industrialisation, said the industries minister yesterday.
“We still lack an industry-friendly monetary policy in our country, which has been creating barriers for the entrepreneurs to receive loans from banks on easy terms,” said Dilip Barua.
“In addition, the country's bank and non-bank financial institutes should change their mindset towards local enterprises, and ease the terms and conditions for them. Ideal terms and conditions will include a single digit rate of interest,” he added.
He was speaking at the inauguration of the three-day 'Banking and Housing Fair 2010', organised by Dhaka International Exhibition Company Ltd (DIEC) at the Samurai Convention Centre in Dhaka.
The minister said the bank and non-bank financial institutes should provide collateral free loans to small and medium enterprises (SME) and women entrepreneurs, to further accelerate Bangladesh's economic growth.
He also suggested them to ensure timely disbursement of remitted money among the family of the migrant workers.
“Bank and non-bank financial institutes can develop a syndicate to reach out to migrant families even at remote areas. This will help migrant workers from those areas to use formal channels to send their hard-earned money,” added Barua.
Murshid Kuli Khan, deputy governor of Bangladesh Bank, appreciated the state owned and private sector banks and non-bank financial institutes for operating remittance services.
“At present, we have received more than $10 billion from our migrant workers across the world. I think one the main reasons of this growth is the use of formal channels to remit money,” he said.
He suggested banks introduce a 'Remittance Card', which will be like debit cards, to further ease the transaction system.
Helal Ahmed Chowdhury, chief executive and managing director of Pubali Bank Ltd, urged the government to instruct Bangladeshi embassies abroad to provide assistance to migrant workers to use formal channels to remit money.
Khondker Fazle Rashid, managing director of Dhaka Bank, and Enayet Karim, chief executive of DIEC, also spoke at the ceremony.
A total of 20 companies, including 13 banks and 7 real estate companies, are showcasing products and services at the fair.
The fair will remain open from 10am to 8pm.
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