Bangladesh Bank (BB) on Saturday announced a massive Tk 60,000 crore stimulus package for 2026, aiming to revitalise a slowing national economy, spur private sector development and generate over 2.5 million jobs.
Bangladesh Bank Governor Md. Mostaqur Rahman made the announcement at a press briefing at the central bank headquarters.
Detailing the interest rate structure, the governor said commercial banks will disburse loans under the package at a market interest rate of 10 to 11 pc.
To ease the burden on businesses, the central bank will provide an interest subsidy of 6 to 7 percent, effectively allowing receiving entrepreneurs to secure funds at a subsidised interest rate of just 4 percent.
"Over the past three years, our national economy has faced consecutive growth slowdowns," Governor Rahman said, highlighting the urgency of the intervention.
"Our Gross Domestic Product (GDP) growth which previously stood at 5.8 percent, subsequently dropped to 4.2 pc. Under the current economic climate, it is projected to further decelerate to 3.7 percent."
The governor noted that alongside the macroeconomic slowdown, key industrial pillars—including ready-made garments (RMG), textiles, steel, ceramics, information technology, and manufacturing—have sustained major blows.
"Furthermore, our banking sector is under mounting pressure. We are witnessing a sharp rise in non-performing loans (NPLs), instances of money laundering, and a visible decline in depositor confidence," he added.
He emphasised that prevailing high interest rates have also discouraged Small and Medium Enterprises (SMEs) from expanding their businesses. "To confront these critical challenges and breathe new life into the financial ecosystem, the central bank has launched this special scheme to revitalise and stabilise our economy."
Fund Structure and Breakdown:
The Tk 60,000 crore fund is split into two primary funding mechanisms:
Refinancing Fund (Tk 41,000 Crore): Sourced from commercial banks holding excess liquidity through long-term deposits of three years or more, at a 10 percent interest rate.
BB’s Own Resources (Tk 19,000 Crore): Drawn directly from the central bank’s own funds, backed by a government guarantee.
Strategic Allocations and Employment Targets:
The stimulus package strongly prioritises restoring industrial production capacity and boosting rural development.
A lion's share of Tk 20,000 crore has been earmarked for the Closed Industry & Service Sector, which is expected to create 200,000 jobs by helping shuttered factories reopen and fulfill pending export orders.
Other key allocations under the refinancing scheme include:
Agriculture & Rural Activities: Tk 10,000 crore, targeting the creation of 900,000 jobs.
CMSME Sector: Tk 5,000 crore, aimed at generating 500,000 jobs.
North Bengal Agricultural Hub: Tk 3,000 crore specialised fund for production, preservation, and export processing.
Export Diversification: Tk 3,000 crore to expand the basket of goods and services shipped overseas.
Targeted Sectoral Support: Under its own funding component, Bangladesh Bank has designated resources for various specialised and vulnerable sectors:
Cottage & Micro Entrepreneurs: Tk 5,000 crore.
Pre-Shipment Credit for Export Sector: Tk 5,000 crore.
Traditional Export Sectors: A combined Tk 4,000 crore allocated for leather, footwear, frozen shrimp, and fish exports.
Youth & Overseas Employment: Tk 1,000 crore each to facilitate skilled placements and create jobs for the unemployed.
Creative Economy & Startups: Tk 500 crore each to foster technological and cultural innovation.
Deputy Governors Nurun Nahar, Habibur Rahman and Dr. Md Kabir Ahmed, among other senior officials, were present.