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Women entrepreneurs will receive 30% of the Tk 200cr incentive package: SME Foundation

By on September 4, 2021 0

Representative image. Photo: Star / File

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Representative image. Photo: Star / File

The SME Foundation will donate 30% of the Tk 200 crore incentive package to small and medium-sized entrepreneurs headed by women to recover losses from the Covid-induced fallout.

Mafizur Rahman, CEO of the SME Foundation, made the comment during a virtual meeting on “Preparations for loan disbursement” with representatives of SMEs and other business organizations across the country.

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Entrepreneurs will get loans at an interest rate of 4% under the incentive program, he said.

The loan can be repaid in up to 24 monthly installments depending on the banker-client relationship, Rahman added.

“We will have an agreement with banking and non-banking financial institutions during the third week of this month. Then the disbursement process could be started,” said Farzana Khan, CEO of the SME Foundation.

The loan limit has been reduced from Tk 75 lakh to Tk 50 lakh to provide loans to more entrepreneurs at the marginal level, the SME Foundation said in the press release.

Earlier on September 2, the loan disbursement policy was changed at a board meeting of the SME Foundation.

In light of the amendment, 10 percent of the loan will go to SME entrepreneurs, 70 percent to entrepreneurs in the manufacturing and service sectors and 30 percent to the commercial sector.

However, this rate can go up to 40 percent for women entrepreneurs in the commercial sector.