Provisioning rules eased for bank loans to brokerage houses, stock dealers

Business Report :
The Bangladesh Bank on Thursday relaxed the rules on the provisioning of bank loans to brokerage houses, merchant banks, and stock dealers.
In 2012, the BB advised banks to maintain a 2 per cent general provision on the unclassified amount for loans to brokerage houses, merchant banks and stock dealers.
“Now it has been decided that banks will have to maintain a general provision of 1 per cent on unclassified amounts for loans to brokerage houses, merchant banks and stock dealers,” said the BB in a notice on Thursday.
The new rate will come into force from March 30, it said.