Dhaka, Jan. 26 -- Bangladesh Bank Governor Dr. Ahsan H. Mansur on Monday announced a strategic plan to reduce large-scale corporate lending by banks as part of a broader effort to contain defaulted loans and develop the country's bond market.

Speaking at a seminar titled 'Bond Market Development in Bangladesh: Challenges and Recommendations' at the Renaissance Dhaka Gulshan Hotel, the Governor emphasized that corporate entities will be encouraged to decouple from traditional bank financing for large projects.

Governor Mansur reaffirmed that the central bank will strictly enforce the 'Single Borrower Exposure Limit', which restricts a bank from lending more than 25 percent of its total capital to a single client.

Funded Loans will be ca...