BB for 1pc general provision for unclassified agro, micro credits

Bangladesh Bank (BB) has asked all scheduled banks to keep one per cent general provision instead of the existing 2.5 per cent against all unclassified short-term agricultural and micro credits.

"Banks will maintain one per cent general provision against all unclassified short-term agricultural and micro credits," a BB circular said in Dhaka on Wednesday.

BB has taken the decision to encourage participation of the banks in disbursing agricultural and micro credits, the circular added.

source – BSS