Bangladesh Bank. Photo : BSS

DHAKA, March 17, 2025 (BSS) – In a policy change Bangladesh Bank has set a target for banks and financial institutions to disburse 27 percent of their total loans to the cottage, micro, small, and medium enterprise (CMSME) sector by 2029.
 
 “CMSME’s total loan and advance position of banks and finance companies has been set to achieve 25 percent by the end of 2025 and with at least 0.5 percent increase every year, banks and finance companies will have to achieve a minimum target of 27 percent of total loan allocation by 2029,” said a BB master circular issued here today.

According to the master circular, people involved in f-commerce and e-commerce will be eligible for loans of up to Tk 5 lakh under the CMSME scheme.

The revised master circular has also outlined that small traders without trade licenses will be eligible for loans.

Besides, the definition of women entrepreneurs has been updated in the new policy.

A company will now be considered a woman-led business if the woman holds at least 20 percent ownership and 51 percent of its employees are women. Earlier, the threshold for ownership was 51 percent.

Besides, banks are required to establish separate departments to manage CMSME loans and assess the risks associated with them.