Eastern Bank Ltd has launched two products 'EBL Unnoti' and 'SME Equity Builder' for small and medium entrepreneurs.

EBL Managing Director and Chief Executive Officer Ali Reza Iftekhar launched the new products at a press conference at Sonargaon Hotel in Dhaka.

EBL Unnoti is an asset product for SME customers designed to bring flexibility in loan usage where a customer can avail himself of the facility when required, and interest will be charged only on the amount utilised.

It is a bundle loan product having overdraft and term loan facility for SME customer having finance against fixed asset and working capital requirement for creditworthy business secured by collateral security (registered mortgage of land and building).

Any SME customer with a minimum two years of successful business operation and all legal documents can apply for the loan. The minimum loan is Tk 10 lakh and the maximum is Tk 1 crore.

The tenure of the loan is a maximum of five years.

SME Equity Builder is a savings scheme for SME entrepreneurs, which can be opened by any SME client having valid trade licence at all EBL branches, the bank said.

The account will encourage SME entrepreneurs to develop habit of savings for enterprises. Ninety percent loan facility is available against deposited amount, it said.

SME Equity Builder offers an 11 percent interest rate on a monthly compound basis to be paid on maturity. It will help the fund in the account grow at a faster rate than the conventional savings schemes, the bank said in a statement.

An enterprise can open multiple accounts with convenient installment size between Tk 500 and Tk 50,000. The maturity of the scheme is 5 years. However, premature encashment is also available.

News: The Daily Star/ Bangladesh/ 13-Apr-2011