Why 9% interest on bank loan shouldn’t be declared illegal: HC

The High Court has issued a rule asking authorities concern to explain as to why the Bangladesh Bank (BB) circular that set interest rate on bank loans at 9 percent should not be declared illegal. 

The HC bench of Justice Abu Taher Md Saifur Rahman and Justice Md Zakir Hossain asked Bangladesh Bank Governor and Finance Secretary to reply within four weeks.

On March 1, Barrister Syed Sayedul Haque Sumon filed the petition on behalf of an apprentice High Court lawyer.

Bangladesh Bank issued a circular last month that capped lending rates on all loans except those on credit cards at 9 percent. The new interest rate will be effective from April 1, according to the circular.

Dhaka/Mahidi/AKA