Kazi Zahidul Hasan :
The Ministry of Finance has so far released Tk 1,710 crore to pay interest-subsidy on loans under economic stimulus packages enrolled earlier to help businesses tide over difficulties created by the lockdown following the outbreak of novel coronavirus.
Of the total amount, Tk 1,444 crore was freed to compensate for accruing interest on loans provided to businesses in April-May 2021 under a Tk 2,000 crore package, launched to alleviate financial stress for borrowers by reducing cost of credit.
Besides, Tk 256 crore was also released to pay interest on subsidised working capital loans disbursed to industries and service sectors under a package of Tk 40,000 crore.
However, these loans are at an interest rate of 9 per cent, and half of which is to be borne by the borrower, and the other half by the government as subsidy.
“This particular interest subsidy scheme designed for a period of three years will cost the national exchequer approximately Tk 1,800 crore,” a Finance Ministry official told The New Nation yesterday on condition of anonymity.
Another, Tk 14 crore interest-subsidy was released on loans sanctioned to cottage, micro, small and medium enterprises (CMSMEs) under a Tk 20,000 crore package.
This package is a low cost soft loan for the CMSMEs as working capital at the rate of 9 per cent interest where government will provide 5 per cent of the interest and entrepreneurs have to pay rest 4 per cent.Besides, the central bank recently sent a letter to the Finance Ministry seeking release of Tk 116 crore more funds to be paid as interest-subsidy on working capital loans disbursed by the country’s commercial banks to the pandemic hit companies and businesses.
“We have sought some clarifications on the central bank’s letter. We would go for releasing the fund after the BB’s reply,” said a Finance Ministry official.
Another official said that the government has already spent a big amount for paying accumulated interest on loans under economic stimulus packages.
“Government’s expenditure for this purpose may amount to Tk 4,000 crore and the funds would be released from budgetary allocations,” he added.
Bangladesh has already announced 23 stimulus packages, amounting to Tk 1.24 trillion or 4.44 per cent of gross domestic product to prop up the domestic economy in the face of the Covid-19 pandemic.
