Dhaka, Dec. 27 -- Phased lifting of the rate cap on lending is among some key remedies the World Bank prefers for its engagement with Bangladesh's capital-market development under a major recipe, sources say.

The multilateral development financier feels that interest-rate caps pose roadblocks to advances of both the banking sector and the capital market.

Following a spot check of the current affairs in the country's financial field, the World Bank Group (WBG) has conveyed such message about its possible involvement with the Bangladesh Joint Capital Market Development (JCAP) programme.

It points out three key factors, including the existing 9.0-percent lending cap, which are hindering development of the country's capital market and bank...