Bangladesh Bank (BB) has extended until September 30 the deadline for affected business entities to apply for policy support for restructuring their operations and financial obligations.

The Banking Regulation and Policy Department (BRPD) of the central bank issued a circular to the managing directors and chief executives of all scheduled banks on Monday, outlining updated guidelines to ensure the effective implementation of its debt-restructuring framework.

Under the updated guidelines, borrowers who previously received policy support through the "Selection Committee for Policy Support for Business and Financial Restructuring" are also eligible to submit fresh applications to their respective banks by September 30.

As per the circular, for single entities or groups with total outstanding loan balances of Tk 1,000 crore or more, special rescheduling can be approved for up to 15 years, including a maximum grace period of two years based on banker-customer relations.

In cases of special restructuring, banks may extend the existing tenure by up to an additional four years beyond the timeframe specified in BRPD Circular No. 16/2022.

For borrowers with total outstanding debts under Tk 1,000 crore, the tenure and conditions outlined in the original BRPD Circular No. 07/2025 will remain applicable.

Borrowers who previously received benefits under BRPD Circular No. 07/2025 or via the Selection Committee can avail themselves of the expanded facility. Any grace period already enjoyed will be adjusted against the permitted timeline.

Unclassified loans (STD-0, 1, 2, and SMA) as of September 30, 2026, will qualify for special restructuring, while adversely classified loans (Sub-Standard, Doubtful, and Bad/Loss) will be eligible for special rescheduling. Banks must finalise all applications upon receiving the required down payments by December 31, 2026.

The central bank stated that these revised instructions take effect immediately.