Mutual Trust Bank PLC (MTB) has officially partnered with Bangladesh Bank under the central bank’s BDT 5,000 crore Working Capital Refinance Scheme. The initiative is designed to boost the operational capacity of cottage, micro, small, and medium enterprises (CMSMEs) facing working capital deficits.
The primary objective of this strategic move is to ensure business continuity, foster job creation, and drive sustainable development within Bangladesh’s vital CMSME sector.
Agreement Signing Ceremony
The formal agreement exchange took place on September 8 at the Bangladesh Bank headquarters in Dhaka.
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Signatories: Md. Zabdul Islam, Director of Bangladesh Bank’s SME and Special Programmes Department (SMESPD), and Chowdhury Akhtar Asif, Additional Managing Director and Chief Business Officer (CBO) of Mutual Trust Bank PLC, exchanged documents on behalf of their respective organizations.
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Chief Guest: Bangladesh Bank Deputy Governor Md. Anis Ur Rahman graced the ceremony as the chief guest.
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Other Attendees: The event also saw the presence of Bangladesh Bank Executive Director Nahid Rahman, Additional Director Shahanaj Pervin, and MTB Head of SME & Agri Banking Division Sanjib Kumar Dey, alongside other senior officials from both institutions.
Key Features of the Refinance Scheme
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Fund Structure: Established using surplus liquidity from scheduled banks, the 3-year revolving fund functions as a targeted financial cushion.
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Interest Rates: Participating banks and financial institutions will secure refinancing from Bangladesh Bank at a favorable rate of 4%, while the maximum interest rate for end-users (customers) is capped at 9%.
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Grace Period: Borrowers may qualify for a 3 to 6-month grace period, subject to standard terms and conditions.
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Target Beneficiaries: The scheme prioritizes operational CMSMEs that are currently unable to run at full production or service capacity due to liquidity constraints. However, Credit Information Bureau (CIB) defaulters are strictly excluded from this facility.
Through this integration, MTB aims to deliver hassle-free, low-cost working capital to grassroots entrepreneurs, reinforcing its commitment to inclusive economic growth across Bangladesh
