Central bank to declare monetary policy for July-Dec on July 30
Bangladesh Bank governor Atiur Rahman on Thursday said the central bank would introduce two separate foreign currency loan funds of US$ 500 million to boost the country’s export-oriented industries.
The BB will launch the funds at its monetary policy unveiling session on July 30 at the central bank headquarters, Atiur told reporters at a pre-monetary policy press consultation at Purbani Hotel in the city.
He said that the World Bank would provide US$ 300 million fund to boost the country’s export-oriented industries.
The fund will be utilised by the central bank. The export-oriented industries will take the facility of the fund for long- and mid-term basis.
The central bank will create another fund of US$ 200 million from its own sources to speed up the green financing of export-oriented industries, Atiur said.
He said that the central bank had earlier taken measures in its monetary policy to ensure uninterrupted credit flow to the small and medium enterprises, and agriculture sector as such type of initiatives strengthened the financial inclusion.
The central bank will take same measure in its upcoming monetary policy in the greater interest of financial inclusion, he said.
He said that the central bank had circulated around Tk 1,17,000 crore between July 5 and July 17 on the eve of Eid-ul-Fitr which was 17 per cent higher than that of previous Eid-ul-Fitr.
The huge money circulation proved that the demand side of the consumers is still high, he said.
The BB governor said that the central bank was now monitoring every private sector foreign loan to ensure transparency.
The central bank has already imposed penalty against some banks as they violated the foreign loan related rules and regulations, he said.
‘The BB has already appointed observers for some banks. It will appoint more observers if the banks perpetrate corruption’, he said.
Sometimes, the central bank has to follow the government decision as it (government) is a stakeholder of the state-owned banks, he said.
But the central bank is giving all-out efforts in its power to ensure good governance in the banking sector.
BB deputy governor Abu Hena Mohd Razee Hassan also spoke at the programme while the central bank chief economist Biru Paksha Paul presented a slide show on the concept of monetary policy.
Source: New Age
