Interest rate drops to single digit from Aug 9: Muhith

Published: August 02, 2018 20:42:05 | Updated: August 03, 2018 11:17:23

Finance Minister AMA Muhith has said the interest rate in the banking sector will come down to single digit from August 9.

“The new initiative of the 6.0 per cent deposit rate and 9.0 per cent lending rate will be effective from August 9. Chairmen and managing directors of the banks agree to implement the new rate as per the direction of the Prime Minister Sheikh Hasina,” he said.

The finance minister told newsmen after a meeting with chairmen and managing directors of the banks at National Economic Council (NEC) conference room in the capital on Thursday, reports BSS.

Muhith said many banks have already implemented the 6.0 per cent deposit and 9.0 per cent interest rate.

But, he said the interest rate for consumer loan and credit card loan will be flexible as per some banks’ obligations.

He said there is no liquidity crisis in the financial sector since the government has decided to allow state agencies to deposit 50 per cent of their funds with private banks, up from the ceiling of 25 per cent, to tackle liquidity crisis.

“This has been very helpful to mitigate the liquidity crisis,” he added.

The finance minister said the government will review the interest rate of the savings certificate on August 8.

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