United News of Bangladesh

Bangladesh Bank (BB) has relaxed again banks’ Internal Credit Risk Rating System (ICRRS) considering the impact of the pandemic on the economic activities. As a result, the businesses will be benefited as banks can provide loans following relaxing ICRRS, the central bank officials said. The marginal ICRRS score fell to 50 percent from 55 percent. Read: BB asks NBFIs comply with Banker's Book Evidence Act-2021 to avoid imprisonment The Banking Regulations and policy department (BRPD) of BB issued a circular on Wednesday relaxing the ICRRS adding that financial statements of different sectors including the industry, trading, and service sector of the year were not as stable as before. Institutions face difficulties in re-borrowing or renewing previous loans as the picture is relatively marginal, the BB circular stated. In this context, the BB relaxed the ICRRS to accelerate business activities across the country. Read: Economy resilient, no liquidity shortages in banks: BB governor The BRPD directive states that the businesses can avail of the required loan facility from the bank considering the financial condition and/or to continue the renewal of the existing loan.