Photo: Collected

DHAKA, July 16, 2026 (BSS) - Bangladesh Bank (BB) has issued new directives providing policy support for the business and financial reconstruction of affected borrower institutions of all finance companies operating in the country.

The initiative aims to revive economic activities and facilitate the recovery of loans by helping potentially viable but financially distressed borrower institutions become operational and profitable again, said a BB circular today.

Under the new directives, the central bank has extended special loan rescheduling and reconstruction facilities to borrowers of finance companies, similar to the policy support already available for borrowers of banking companies.

The circular said the objective of the policy is to accelerate economic activities while ensuring the recovery of loans and the reinvestment of funds in productive sectors of the economy.

The instructions have been issued under Section 41(1)(k) of the Finance Company Act, 2023.

According to the circular, finance companies must complete all required procedures, including obtaining approval from their respective boards of directors, by September 30, 2026.

Signed by FCRPD Director Abul Kalam Azad, the circular came into effect immediately.

The new policy is expected to improve the liquidity position of finance companies while strengthening overall financial stability in the country.