Cost of Funds Index (CoFI) of the Non Bank Financial Institutions.
| Particulars | Jan, 2023 | Feb, 2023 | Mar, 2023 | Apr, 2023 | May, 2023 | Jun, 2023 | Jul, 2023 | Aug, 2023 | Sep, 2023 | Oct, 2023 | Nov, 2023 | Dec, 2023 | Jan, 2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cost of funds | 6.65 | 7.1 | 6.84 | 7.2 | 7.11 | 7.09 | 7.2 | 7.34 | 7.33 | 7.29 | 7.49 | 7.36 | 7.5 |
| Adjusted Cost of funds | 7.59 | 8.12 | 7.79 | 8.21 | 8.11 | 8.11 | 8.28 | 8.42 | 8.44 | 8.42 | 8.7 | 8.6 | 8.79 |
Cost of Funds is the weighted average interest rate of the interest-bearing liabilities of a non bank financial institution. Cost of Funds Index (CoFI) reflects the weighted average interest rate reported for a given month by the non bank financial institutions.
There are two computation of cost of funds; one is for all the interest-bearing funds and the other is for the interest-bearing funds excluding the low-cost specific purpose scheme funds (adjusted cost of funds).
CoFI serves as the reference rate for pricing the variable interest loan products. In setting the variable interest rate of a new loan, NBFIs will add margin to the industry CoFI or Adjusted CoFI . Bangladesh Bank issued guidelines on the Base Rate System for the NBFIs through DFIM Circular No.-06, dated- 20 August 2013. The guidelines provide more details on the CoFI.