In response to a demand from the FBCCI to re-fix the bank interest rates, the Bangladesh Bank will request the banks to fix the rate at a tolerable level.

A delegation of the apex trade body led by its president AK Azad yesterday sat in a meeting with the BB officials at the BB premises.

BB Governor Dr Atiur Rahman presided over the two-hour long meeting that attended, among others, by deputy governors Nazrul Huda, Ziaul Hassan Siddiqui, Murshid Kuli Khan, and executive director Jahangir Alam.

In his written speech, the Governor said there is nothing to be concerned about the present economic situation of the country. He would sit with the CEOs of the banks about the interest rates.

He urged the businessmen to show more tolerance to some decisions of policy makers, for the greater interest of the economy.

Presently, the country is growing 96 percent of its food demand, which will help bring down the food prices and control the inflation, Atiur said.

After the meeting AK Azad said that businessmen are to take loans at 15 to 18 percent interest rates following the lifting of lending cap, which will increase the cost of doing business and ultimately influence the inflation.

BB officials, however, assured them of necessary steps regarding the issue, Azad said.

Deputy governor Nazrul Huda told journalists that leaders of the trade body were told that BB lifted the lending cap on logical grounds and it is not considering imposition of fresh cap now, but it will request banks to fix flexible rates.

The gap between the rates of lending and deposit is not more than 5 percent, he also remarked.

News: Daily Sun/Bangladesh/ Apr-06-2011