Karmasangsthan Bank to disburse Tk 3.23b loan in next fiscal****

The state-run Karmasangsthan Bank (KB) is set to raise its loan disbursement target by 30 per cent in the fiscal year (2011-2012) aiming to boost employment generation in the country, a high official said. Up to December of current fiscal (2010-2011) loan disbursement of KB was estimated at Tk 1.47 billion. The bank has decided to disburse Tk 1.88 billion loan in six months of calendar year (January to June), the bank statistics said. The bank recently finalised the bank's budget for the next fiscal saying Tk 3.23 billion will be disbursed during that period, the official said. Tk bank will disburse Tk 3.1 billion in agriculture, poultry and pisciculture sectors, Tk 0.2 billion among agriculture-based industries and Tk 0.06 billion among retired people from industrial sector. Tk 0.05 billion will be disbursed as house building loans and Tk 0.01 billion will be spent for purchasing motor cycles for officials. The bank management expects that in next fiscal loan recovery of the bank will increase by 24 per cent in comparison to this fiscal. Tk 1.04 billion loan was recovered in the first six months of current fiscal. The bank authority estimates that in later six months of this fiscal Tk 1.40 will be recovered, the statistics said. The official said the bank has fixed a target to recover Tk 3.23 billion loan in next fiscal as loan receivers have shown better response regarding payment of loan. The official said revenue expenditure of the bank will increase in next fiscal by 89 per cent because of new recruitments, implementation of new pay scale and opening of new branches. At the end of current fiscal revenue expenditure of the bank would stand at Tk 0.37 billion and for next fiscal the expenditure has been estimated at Tk 0.57 billion, a source said. Revenue income will stand at Tk 0.45 billion at the end of current fiscal, the official calculation said. Revenue income will reach at Tk 0.66 billion in next fiscal, the official added. The official said the manpower of the bank would be increased by more than 70 per cent from the existing figure. Managing director of the bank Dr Nurul Huda Choudhury told the FE that authorised capital of KB is now Tk 07 billion and within next four years that would reach Tk 10 billion. Mr Choudhury said paid up capital of the bank would increased by 30 per cent. Paid up capital is now Tk 4.5 billion and the capital will reach Tk 6.5 billion in next fiscal. "We are giving much effort specially for decreasing unemployment rate in the country by disbursing more loans than last fiscal so that the country can achieve economic development," Nurul Huda said.