BB eases loan classification rules
The Bangladesh Bank yesterday eased its loan classification policy for all borrowers following demand from the country’s top trade bodies, including the FBCCI. As per new decisions, a borrower will not be considered defaulters if they pay 15 per cent of the total instalment of loans payable in 2021 instead of the previous 25 per cent. On December 27, the central bank relaxed the rules for small and medium enterprises (SMEs), allowing them to pay 15 per cent of their total installments payable this year. the central bank would allow banks to accept the instalments from borrowers in the next 7-8 days. A post facto approval will be given to adjust the instalments. Clients, whose outstanding loans ranged from Tk 10 crore to Tk 500 crore, should be considered non-defaulters if they can give only 2 per cent of their payable instalments within the period. Those with loans of more than Tk 500 crore should be allowed to avoid the default zone if they can pay 1 per cent of their payable instalments, according to the FBCCI.
HSBC completes first insurance backed receivables finance transaction
The Hongkong and Shanghai Banking Corporation (HSBC) in Bangladesh has recently completed the country’s first insurance backed receivables finance transaction for MBM Garments. It also comes with a bespoke insurance solution to cover and manage buyers’ non-payment risk through HSBC’s business partners. Kevin Green, country head of Wholesale Banking, said being the leading bank for global trade, HSBC is uniquely positioned to connect buyers and suppliers globally by leveraging its international network and structured product propositions.
Selim R. F. Hussain elected new ABB chairman
Selim R.F. Hussain, the Managing Director & CEO of BRAC Bank Limited, has been elected as the Chairman of the Association of Bankers Bangladesh Limited (ABB) for the next two years. The announcement came from the 24th Annual General Meeting (AGM) of ABB held virtually.
Local and Global Stock Indices *
|Index Name||Close Value||Value Change||Percentage Change|
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|FTSE100||$ 7,384.54||↓ 18.47||↓ 0.25 %|
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World Commodities *
|Commodity||Close Value||Value Change||Percentage Change|
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|Crude Oil (Brent)||$ 77.78||↓ 1.75||↓ 2.20 %|
|Gold Spot||$ 1,829.20||↑ 14.53||↑ 0.80 %|
Major Currencies Exchange Rates Movement in Last Seven Days *
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