The Government of Bangladesh (GoB) has signed a Financing Agreement (FA) on June 30, 2015 with the International Development Association (IDA) regarding implementation of the Financial Sector Support Project (FSSP). The objective of the project is to improve financial market infrastructure of the country, regulatory and oversight capacity of Bangladesh Bank and access to long term financing mainly for manufacturing firms in Bangladesh. Bangladesh Bank has also signed a Project Agreement (PA) with the IDA on the same date to carry out the tasks for implementation of the project.
- “Supporting Long Term Finance” is the major component of the project. Under the arrangement, Bangladesh Bank will provide long term financing in foreign currency mainly for small and medium scale manufacturing enterprises in the country as detailed in the attached Operations Manual. The financing would be provided to eligible Participating Financial Institutions (PFIs) for on lending/refinancing to the eligible firms.
- The Operations Manual governing the operation and implementation procedures of the fund and eligibility criteria of the financial institutions is attached herewith.
- Interested banks may apply to the Project Director (PD) of Financial Sector Support Project (FSSP) for participating in the Financing Facility.
Please bring the contents of this circular, effective immediately, to the notice of all your concerned constituents.