B Mirror Desk: The Investment Corporation of Bangladesh (ICB) has formulated short-, medium- and long-term recovery plans to address its financial difficulties amid prolonged volatility in the capital market and rising borrowing costs.

Under its short-term plan, the state-owned investment institution aims to secure Tk 10,000 crore in low-cost financing to ease its financial pressure and strengthen its investment capacity.

The plan is expected to be presented at a programme marking ICB’s 50th anniversary on Thursday. Finance Minister Amir Khosru Mahmud Chowdhury, senior government officials and representatives of capital market regulators are expected to attend the event.

According to ICB’s financial statements, the corporation’s accumulated loss stood at Tk 1,608 crore as of March 2026. It incurred a record loss of Tk 1,213 crore in fiscal year 2024-25 and Tk 588 crore in the first nine months of FY2025-26.

A senior ICB official said the corporation had repeatedly borrowed from state-owned banks, following government and regulatory directives, to invest in the capital market and support market stability. As a result, its interest burden increased, while market volatility reduced capital gains, dividend income and other earnings.

ICB’s bank borrowing increased nearly sixfold from Tk 2,341 crore in FY2010-11 to around Tk 14,000 crore in December 2025. During the same period, its annual interest payments rose from Tk 185 crore to Tk 1,101 crore.

The corporation’s investment portfolio also recorded unrealised losses of around Tk 5,507 crore in December last year, while the portfolio was valued at approximately Tk 8,600 crore.

Under the proposed Tk 10,000 crore short-term financing plan, Tk 7,000 crore would be used to repay high-cost loans, while Tk 3,000 crore would be invested in the secondary market.

ICB has already received Tk 4,000 crore in low-cost financing from the government. A portion of the funds has been used for debt repayment and investment in the capital market.

Under its medium-term plan, ICB intends to convert part of its institutional loans from state-owned banks and financial institutions into equity. It also plans to issue fixed-yield preference shares to lenders, converting short-term liabilities into long-term capital.

In the long term, the corporation plans to diversify its sources of income, modernise its operations and infrastructure, and introduce new investment products.