Bangladesh Bank's Financing Schemes for Green Transformation and Technology Development
28 September 2023, Mumbai
Green Transformation Fund
BDT5,000 crore refinancing scheme
Long-term loans with a maximum interest rate of 5%
Factories can avail 70% of the costs of letters of credit against their required (machinery) imports as loans
Maximum loan amount of BDT200 crore
Can be used for water efficiency, conservation and management, waste management, resource efficiency and recycling, renewable energy, energy efficiency, heat and temperature management, ventilation and wind flow efficiency, working environment improvement initiatives, and other areas
Technology Development Fund
BDT1,000 crore scheme
Cheap loans to 100% export-oriented industries to upgrade the technologies they currently use
Tenure ranges from 3 to 10 years
Interest rate depends on the tenure (5% for less than five years, 5.5% for between 5 years and less than 8 years, and 6% for more than 8 years to 10 years)
Maximum of 1 year grace period
Can be used for replacing outdated machinery, adopting technology for renewable energy, and upgrading of machinery used in business operations and waste management.
