Under its credit guarantee scheme, Bangladesh Bank (BB) has provided Tk 6,585 crore in liquidity assistance to help meet the short-term funding requirements of financial institutions.
Husneara Shikha, Executive Director and spokesperson of the central bank, shared the information with reporters on Thursday that the support is being provided without printing additional currency, as the funds are managed through interbank lending under the central bank’s guarantee.
Shikha stated that the central bank stands ready to maintain this support as required, tailoring assistance based on the specific needs of each bank.
So far, seven banks facing liquidity challenges have received funding from 10 financially stable banks under this arrangement.
Despite this injection of liquidity, some banks are still experiencing difficulties in meeting depositor withdrawals, which the BB spokesperson attributes to aggressive loan disbursement practices involving fraudulent documents during the tenure of the previous government.
