September 24, 2022, 10:08 pm

Staff Correspondent

2022-05-30 13:24:29 BdST

Private sector credit flow up to 12.48pc

Private-sector credit flow increased further in April 2022 following rising demand for loans, particularly for trade financing, to settle import-payment obligations.

The credit flow rose to 12.48 percent in April on a year-on-year basis, from 11.29 percent a month before, according to the central bank's latest statistics.

It was 2.32 percentage points lower than the Bangladesh Bank's (BB) target of 14.80 percent for the second half (H2) of the current fiscal year (FY), 2021-22.

"The private sector credit flow increased further in April following higher import payment obligations as well as total reopening of economic activities," a BB senior official said on Sunday.

He also said the existing upward trend in the private sector credit growth may continue until June 2022, as the demand for credit, particularly for small and medium sectors, is enhancing gradually.

Meanwhile, outstanding loans with private sector rose to Tk 13,096.31 billion in April 2022 from Tk 11,643.31 billion in the same month of 2021. The amount was Tk 11,888.55 billion in June 2021.

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