A tripartite Memorandum of Understanding (MoU) was signed on Thursday for running the Tk-900 crore refinance scheme for helping the small investors hit hard by the 2011 capital market debacle. The MoU titled ‘Refinance Scheme for the small investors affected in capital market’ as part of the government announced stimulus scheme for the small affected investors was signed among the Bangladesh Bank, Bangladesh Securities and Exchange Commission (BSEC) and Investment Corporation of Bangladesh (ICB) at the Bangladesh Bank.
Bangladesh Bank Executive Director SM Moniruzzaman, BSEC Executive Director Saifur Rahman and ICB managing director Md Md Fayekuzzaman signed the MoU on behalf of their respective sides. High officials of the central bank, BSEC and ICB were present.
Earlier on Wednesday, a meeting was held at the Bangladesh Bank where the MoU to run the refinance scheme by the ICB was finalised. The first installment of Tk 300 crore is likely to be released against the ICB on Sunday by the Bangladesh Bank for disbursing among the small investors as credit to make up their losses, said central bank General Manager AFM Asaduzzaman. He also hoped that this refinance scheme would play an important role in reviving the capital market through helping the small investors.
The stock market regulator has identified some 9.54 lakh investors who are eligible to get the credit under the refinance scheme. The rest of Tk 600 crore of the fund will be disbursed in two more installments against the account of the state-run ICB.
An inspection committee having representatives from the central bank, BSEC and ICB will monitor the scheme operation and submit a report to the Finance Ministry in every quarter. The government in March 2012 had announced a compensation package that also included an interest waiver on margin loans for the investors who suffered losses during the price debacle in 2011. -UNB
