Bangladesh Bank publishes Manual of Credit Guarantee Scheme

Bangladesh Bank on Tuesday published 'Manual of Credit Guarantee Scheme' for the banks to follow in facilitating loans for cottage, micro and small enterprises (CMS) under the government-announced economic stimulus package of Tk 200 billion for CMSME sectors.

Under this package, any entrepreneur of CMS category can avail a collateral free loan between Tk 200,000 and Tk 50,00,000 as working capital under the Credit Guarantee Scheme of Bangladesh Bank, reports UNB.

The central bank launched the scheme on 27 July this year to facilitate the collateral loans for the country’s small scale entrepreneurs under CMS category to offset the effects of COVID-19 in their businesses.