, Jan. 7 -- Bangladesh's central bank has lifted the ceiling on housing loans to Tk 4 crore, tying how much banks can lend to the quality of their existing mortgage portfolios as it seeks to balance support for the property market with financial discipline.

Bangladesh Bank said in a circular issued on Wednesday that it has amended Rule 23 of the Prudential Regulations for Consumer Financing with immediate effect, citing higher construction costs and changing market conditions.

Under the revised framework, banks with non-performing loans (NPLs) of 5% or less in their housing loan portfolios will be allowed to extend home loans of up to Tk 4 crore to individual borrowers.

Lenders with NPLs between 5% and 10% can offer a maximum of Tk 3 c...