Bangladesh’s Tk 62,000 crore stimulus package, designed to revive the economy, reopen closed industries and generate employment, has disbursed less than one-fifth of its total allocation in nearly five months, raising questions over the pace of implementation.
According to Bangladesh Bank data, Tk 11,959.82 crore had been disbursed under the package as of October 15, accounting for 19.3 percent of the total allocation. This means more than 80 percent of the funds remain undistributed despite the passage of nearly five months since the initiative was announced.
An additional Tk 2,560 crore was under the financing process, taking the combined amount disbursed and under process to Tk 14,519.79 crore, or less than 24 percent of the package.
The central bank initially announced a Tk 60,000 crore stimulus package before increasing its size to Tk 62,000 crore. The initiative was designed to inject liquidity into the economy, sustain industrial and business operations, encourage new investment and create employment.
Of particular concern is the slow disbursement under a dedicated pre-financing scheme established to help reopen closed industrial units and service-sector businesses.
Against an allocation of Tk 20,000 crore under the scheme, only Tk 561 crore had been disbursed by October 15, representing just 2.8 percent of the total. Another Tk 929.50 crore was under the financing process, bringing the combined amount to Tk 1,490.50 crore.
Under the scheme, industrial entrepreneurs are supposed to receive loans at an interest rate of up to 7 percent. Borrowers would bear 1 percent of the interest cost, while the government would subsidise the remaining 6 percent.
The stimulus programme had also set a target of creating employment for 2.5 million people.
The slow flow of funds has raised concerns about whether the initiative can deliver its intended benefits, particularly for businesses struggling with financial constraints, rising operating costs and energy shortages.
Disbursement varies across schemes
Bangladesh Bank data show significant differences in disbursement across the 15 pre-financing and refinancing schemes included in the package.
The cumulative disbursement under the pre-shipment credit refinancing scheme stood at Tk 6,917 crore, making it the largest among the schemes listed in the data.
A special scheme for cottage and small entrepreneurs had disbursed Tk 2,500 crore, while approximately Tk 908 crore had been distributed from the working capital refinancing fund for cottage, micro, small and medium enterprises (CMSMEs).
The scheme established to support the creative economy had disbursed Tk 500 crore.
Meanwhile, a refinancing scheme aimed at increasing agricultural production, expanding rural economic activities, strengthening food security and creating employment had disbursed Tk 293 crore.
The financing scheme designed to create overseas employment had disbursed Tk 200 c
