3 SCBs disbursing Tk 3.88b to buy rawhide during Eid
Wednesday, 25 November 2009
Siddique Islam
Three state-owned commercial banks (SCBs) out of four have started disbursement of Tk 3.88 billion loans to procure rawhide of sacrificial animals during this Eid-ul-Azha.
Only regular parties, who have already repaid their earlier dues, have been qualified for fresh loans in line with the existing guidelines, issued by the SCBs earlier, bank officials said.
Under the guidelines, those who failed to repay the previous loans would not be entitled for fresh credit to purchase the rawhide.
"We'll provide fresh loans only to the regular parties," Agrani Bank Limited Managing Director and Chief Executive Officer Syed Abu Naser Bukhtear Ahmed told the FE Tuesday.
He also said the board of directors will give final approval at a meeting scheduled to be held today (Wednesday) to sanction such loans for this year.
The Sonali Bank Limited has already approved Tk 655 million that was unchanged from the previous year against three parties for purchasing hide and skin during the Eid season.
"We've already started disbursing the funds to our clients," a senior official of the Sonali Bank told the FE, adding that the bank has approved the loans on the basis of repayment status.
The Janata Bank Limited has decided to disburse Tk 1.80 billion this year, up by Tk 150 million from the previous year, to facilitate the country's recession-hit leather sector.
"We'll provide more loans than before to facilitate the leather industries and stop leather smuggling during the Eid festival," a Janata Bank senior official said, adding that the bank has already directed its branches concerned for taking necessary measures in this connection.
The Agrani Bank Limited is expected to disburse a total of Tk 1.43 billion this year as against Tk 1.25 billion of the previous year.
"We are expecting to disburse the amount this year to buy rawhide using direct and indirect financing mode," an executive of the SCB told the FE, adding that the bank management has given approval for converting some leather sector loans into long-term ones, which have a 12-year repayment period.
The executive also said the bank has disbursed Tk 400 million among the clients for purchasing rawhide during the Eid.
The Rupali Bank Limited is still processing to lend Tk 200 million to two clients to buy rawhide this season.
"We may provide the loans to the clients only after approval of our board of directors," a senior official of the Rupali Bank told the FE, adding that the bank had provided such loans last year after the Eid festival.
Besides, some private commercial banks normally invest for purchasing the hide and skin during the Eid season, the officials added.
"We're facing hard times following the global meltdown," Bangladesh Tanners' Association Chairman Shaheen Ahmed told the FE, adding that the production in the sector has been cut around 25 per cent in the first quarter of this fiscal.
Three state-owned commercial banks (SCBs) out of four have started disbursement of Tk 3.88 billion loans to procure rawhide of sacrificial animals during this Eid-ul-Azha.
Only regular parties, who have already repaid their earlier dues, have been qualified for fresh loans in line with the existing guidelines, issued by the SCBs earlier, bank officials said.
Under the guidelines, those who failed to repay the previous loans would not be entitled for fresh credit to purchase the rawhide.
"We'll provide fresh loans only to the regular parties," Agrani Bank Limited Managing Director and Chief Executive Officer Syed Abu Naser Bukhtear Ahmed told the FE Tuesday.
He also said the board of directors will give final approval at a meeting scheduled to be held today (Wednesday) to sanction such loans for this year.
The Sonali Bank Limited has already approved Tk 655 million that was unchanged from the previous year against three parties for purchasing hide and skin during the Eid season.
"We've already started disbursing the funds to our clients," a senior official of the Sonali Bank told the FE, adding that the bank has approved the loans on the basis of repayment status.
The Janata Bank Limited has decided to disburse Tk 1.80 billion this year, up by Tk 150 million from the previous year, to facilitate the country's recession-hit leather sector.
"We'll provide more loans than before to facilitate the leather industries and stop leather smuggling during the Eid festival," a Janata Bank senior official said, adding that the bank has already directed its branches concerned for taking necessary measures in this connection.
The Agrani Bank Limited is expected to disburse a total of Tk 1.43 billion this year as against Tk 1.25 billion of the previous year.
"We are expecting to disburse the amount this year to buy rawhide using direct and indirect financing mode," an executive of the SCB told the FE, adding that the bank management has given approval for converting some leather sector loans into long-term ones, which have a 12-year repayment period.
The executive also said the bank has disbursed Tk 400 million among the clients for purchasing rawhide during the Eid.
The Rupali Bank Limited is still processing to lend Tk 200 million to two clients to buy rawhide this season.
"We may provide the loans to the clients only after approval of our board of directors," a senior official of the Rupali Bank told the FE, adding that the bank had provided such loans last year after the Eid festival.
Besides, some private commercial banks normally invest for purchasing the hide and skin during the Eid season, the officials added.
"We're facing hard times following the global meltdown," Bangladesh Tanners' Association Chairman Shaheen Ahmed told the FE, adding that the production in the sector has been cut around 25 per cent in the first quarter of this fiscal.