Tk 100cr refinance scheme for digital nano loans launched

Bangladesh Bank today introduced a Tk 100 crore refinance scheme for digital nano loan disbursements with an aim to expand the financial inclusion of marginalised people.

Participating banks will be able to disburse loans of Tk 500 to Tk 50,000 to individual customers with up to 9 per cent interest under the scheme.

The loans have to be disbursed entirely digitally by using internet banking, mobile apps, mobile financial services (MFS), or e-wallet services, according to a central bank circular.

Scheduled banks will be able to avail the fund to disburse it to customers. Of the Tk 100 crore, Tk 50 crore will be disbursed as loans and later, another Tk 50 crore will be given as refinance benefits.

However, the banks will have to have digital infrastructures to disburse the loans or partner with any digital financial service provider, according to a Bangladesh Bank official.

Beneficiaries will have to repay the loan within six months of receiving it.