Solar irrigation projects to get priority

The Bangladesh Bank has issued a master circular on rules and regulations of the Refinancing Scheme for Environment-friendly products and initiative, reports UNB news agency.

As per the circular dated 16 March, entrepreneurs will get bank loan at lower interest rate for some 51 environment-friendly products and initiatives in 8 sectors under a Tk 2 billion re-financing scheme, launched by the Bangladesh Bank in 2009,

As per the new master circular, bank will charge maximum 8-9 per cent interest on the loan to be provided to the entrepreneurs for the investment for 51 products and initiatives in 8 sectors.

In this case the interest rate will be calculated as bank rate plus 3-4 per cent. But the interest structure will be bank rate plus 2 per cent when it comes to the financing for the solar irrigation pumping system, said the master circular of the central bank.

It said the government has set the solar irrigation pumping system as a priority sector to replace the conventional diesel and electricity-run pumps in compliance with the government’s agriculture priority policy.