ONE Bank joins Tk 5,000cr SME refinance scheme

ONE Bank PLC has signed a participation agreement with Bangladesh Bank under the central bank’s Tk 5,000 crore working capital refinance fund, aimed at disbursing low-interest, soft-term working capital loans to cottage, micro, small and medium enterprises (CMSMEs) and strengthening the sector.

Md Zabdul Islam, director of the SME and Special Programmes Department at Bangladesh Bank, and Kazi Ziaul Islam, deputy managing director and head of financial services and public sector at ONE Bank PLC, signed the agreement at the central bank’s headquarters in Motijheel, Dhaka recently, according to a press release.

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Md Anis Ur Rahman, deputy governor of Bangladesh Bank, attended the signing ceremony.

The working capital refinancing scheme is part of Bangladesh Bank’s Tk 60,000 crore stimulus framework and is expected to address financing shortfalls in the CMSME segment by improving access to finance and reducing interest rates.

Through the refinancing scheme, ONE Bank will further strengthen its financing portfolio and support the growth of CMSMEs in Bangladesh.

The scheme is designed to boost production capacity, create jobs and accelerate economic growth.

Nahid Rahman, executive director of Bangladesh Bank; Shahahnaj Pervin, additional director; and Newaz Khalid Ahmed, senior executive vice-president and head of commercial and SME business at ONE Bank PLC, along with other officials from both institutions, were also present.