Guidelines on Interest Rate/Service Charge of Microcredit

Bangladesh

(enacted in 2010)

The Microcredit Regulatory Authority (MRA) Circular Letter No. Regu-05 (Guidelines on Interest Rate/Service Charge of Microcredit) sets  caps for interest rates and service charges, minimum interest rates for savings, and minimum repayment periods and grace periods between disbursement and first installment payment for all microfinance institutions operating in Bangladesh. It also prohibits compulsory savings, insurance, or other costs deducted from loans.