An agreement was officially executed recently between the Bangladesh Bank and the National Bank Limited (NBL) pertaining to the ‘Financial Inclusion Credit Guarantee Scheme.’

Representing their respective organisations, the agreement was signed by Manoj Kumar Howlader, Director of the Credit Guarantee Department at Bangladesh Bank, and Md. Mehmood Husain, the Managing Director and CEO of NBL, as reported by NBL.

This agreement signing took place at the Bangladesh Bank’s headquarters in Dhaka and was attended by key officials, including Syed Himyanuddin Ahmed, Additional Director of the Credit Guarantee Department at Bangladesh Bank, Joint Director Md. Oliul Islam, Md. Sahidul Islam, Head of NBL’s CRM (MSME) Division, and other officials from both Bangladesh Bank and National Bank Limited.

As part of this agreement, National Bank will extend collateral-free loan facilities to businessmen, including those with Taka 10,50,100 accounts apart from marginalized and landless farmers, low-income professionals, and school banking account holders through its branch network.

These loans will carry a competitive interest rate of 7 percent.

National Bank anticipates that this agreement will significantly bolster its support for Cottage, Micro, Small and Medium Enterprises (CMSME) financing, thereby fostering financial inclusion and economic growth.