Bangladesh Bank is forming a Tk 1,000 crore fund to provide cheap loans to export-oriented industries to upgrade technologies they currently use. The eligible industries are of 32 types, all falling under top-priority and special development sectors.
Basic Features of Technology Development Fund
Refinancing Scheme: Technology Development Fund/Upgradation (TDF).
Fund Size: BDT 1000.00 crore
Bangladesh Bank (BB) has formed a Tk10 billion refinancing scheme to provide low-cost loans to the export-oriented industries for upgrading technologies.
Purpose of the scheme: For strengthening the capacity and increasing the sustainability and competitiveness of the units,
- Loan Tenure: 5-10 years
- Grace Period: Not more than one year.
- Debt-Equity Ratio: 70: 30
- Interest rate
a. 5.00% on the loans having the tenure below five years
b. 5.50% from five years to below eight years
c. 6.00% from eight years to 10 years.
32 types of industries and 11 types of operations including readymade garment factories, pharmaceuticals, software and IT-enabled services, jute goods and, footwear and leather goods.
Industry Nature: Must be export-oriented industries.