The High Court on Monday issued a rule asking why the microcredit interest rates charged by Grameen Bank should not be reduced to align with those of scheduled banks.
A High Court bench comprising Justice Khizir Ahmed Choudhury and Justice Md Ziaul Haque passed the order following a preliminary hearing on a writ petition.
The court has directed the governor of Bangladesh Bank, the finance secretary, the managing director of Grameen Bank, and the former managing director and current advisor/consultant Muhammad Yunus to respond to the rule within four weeks.
The rule seeks to determine why instructions should not be issued to lower the interest rates charged to landless borrowers in rural Bangladesh, which are currently higher than the rates of scheduled banks.
Advocates Masud R Sobhan and Fatema S Chowdhury represented the petitioners during the hearing.
Speaking to journalists, Fatema S Chowdhury said that the court issued the rule to bring Grameen Bank’s interest rates in line with those of scheduled banks, as Grameen Bank’s rates are currently 20 per cent or higher.
She further noted that while they had previously sent a letter to the bank regarding the matter, the institution did not disclose the specific rates it charges, stating only that they would consult with Bangladesh Bank.
