Trust Power

‘Trust Bank’ as a part of its ‘financial inclusion’ program has a wide range of products and services for different segment of people under its ‘conventional’ banking operations. However, till now the Islamic banking operations of the bank is mainly focused on corporate &sector an retail d now like to expand its investment exposures in the SME & Agro sectors.

IBD, accordingly has taken an initiative to develop & introduce SME products under Islamic mode and now like to introduce a product to bring rural & urban people under coverage of solar electricity, solar irrigation system to encourage the use of renewable energy or green energy. Bangladesh Bank has already earmarked the sector as a priority sector and introduced refinance facility to encourage the investments in this segment. The product will also contribute in achieving budgetary target of the bank set by Bangladesh Bank for Agro & Green Banking.

In view of the above, Islamic Banking Division has designed a new product named “Trust Power” to facilitate investments in the small scale commercial & household solar energy system with option for subsequent investment in larger project viz. irrigation etc.

  • Purpose of the Product: To bring rural & urban people under coverage of solar electricity, solar irrigation system etc.
  • Eligibility: Must be a permanent resident of the locality with land ownership and in case of market the client must be a shop owner.
    • For Solar Mini/Micro Grid-SMG facility 50% members of the cluster must be permanent resident of the locality with land ownership.
  • Investment Limit:
    • Solar Home System-SHS/ Solar Photo Voltaic System-SPVS:
  • Individual: Maximum BDT50,000.00 or as per refinance scheme guideline of Bangladesh Bank
  • Cluster: Maximum BDT1,000,000.00 or as per refinance scheme guideline of Bangladesh Bank
    • Solar Mini/Micro Grid-SMG
  • Individual: Maximum BDT50,000.00 or as per refinance scheme guideline of Bangladesh Bank
  • Cluster: Maximum BDT2500,000.00 or as per refinance scheme guideline of Bangladesh Bank
    • Solar Irrigation Pumping System-SIPS
  • Individual: Maximum BDT100,000.00 or as per refinance scheme guideline of Bangladesh Bank
    • Cluster: Maximum BDT3500,000.00 or as per refinance scheme guideline of Bangladesh Bank
  • Tenure:
    • Maximum 4 years [including moratorium/grace period which is optional] for SHS/SPVS
    • Maximum 10 years with 9 months moratorium/grace period for SMG
    • Maximum 10 years with 6 months moratorium/grace period for SIPS
  • Rent/Profit Rate:
    • 11.00% p.a. for SHS/SPVS [subject to availability of BB refinance] or as per BB Guideline
    • 11.00% p.a. for SMG/SIPS [subject to availability of BB refinance] or as per BB Guideline
    • Rate may be changed from time-to-time by management as per BB Guideline