BB governor starts visiting cyclone-hit dists from today
Sunday, 2 December 2007
FE Report
Bangladesh Bank Governor Salehuddin Ahmed will be visiting the cyclone-hit southern and southwestern districts from today (Sunday) to help intensify disbursement of fresh credit among the local people.
Besides, the central bank chief will request the local banks, non-banking financial institutions (NBFIs) and non-governmental organisations (NGOs) to provide fresh loans to Sidr-hit people.
As part of the programme, the BB governor arrives in Barisal today (Sunday) to discuss with local bankers and business leaders the ways to revamp the economic activities in the severely affected areas.
"We have already asked the local banks to submit their reports focusing on the increased disbursement of fresh credit and creation of new banking products to help all segments of people," a BB senior official told the FE Saturday.
He also said the BB governor is likely to give some instant instructions to the banks, NBFIs and NGOs to increase their financial support to the cyclone-hit people.
Sources, however, said local bankers sought an immediate guideline to provide loans to fishermen from the BB or the government when the central bank offices in Barisal and Khulna convened two separate meetings on November 25 last.
On Tuesday last, the BB at a meeting of bankers advised the commercial banks to extend all possible help to rejuvenate economic activities in the cyclone-hit areas through soft loan disbursement among the affected people.
The central bank also called upon the bankers to provide loans to fishermen and timber traders in the affected areas and sacrifice, if necessary, their profits to some extent in the greater interest of the country's economy.
During the meeting, the BB governor advised the banks, particularly private commercial banks (PCB), which have no branches in the remote areas, to link up with NGOs for ensuring financing facilities in the cyclone-hit areas.
On Thursday last, the BB asked eight government-owned banks and financial institutions to intensify disbursement of fresh farm loan along with rural credit to all sections of cyclone-affected people.
The central bank earlier asked the banks and financial institutions to intensify disbursement of fresh agriculture credit to the cyclone-affected farmers on easy terms and conditions.
Under the new measures, the cyclone-hit farmers will be eligible for fresh credit after rescheduling their previous classified loans. The banks, if necessary, may relax the provision on down payment in case of loan rescheduling.
The central bank has set the credit target at Tk 81.92 billion, which includes Tk 13.47 billion from private commercial banks and the rest from government-owned banks and financial institutions for disbursement among farmers across the country.
Bangladesh Bank Governor Salehuddin Ahmed will be visiting the cyclone-hit southern and southwestern districts from today (Sunday) to help intensify disbursement of fresh credit among the local people.
Besides, the central bank chief will request the local banks, non-banking financial institutions (NBFIs) and non-governmental organisations (NGOs) to provide fresh loans to Sidr-hit people.
As part of the programme, the BB governor arrives in Barisal today (Sunday) to discuss with local bankers and business leaders the ways to revamp the economic activities in the severely affected areas.
"We have already asked the local banks to submit their reports focusing on the increased disbursement of fresh credit and creation of new banking products to help all segments of people," a BB senior official told the FE Saturday.
He also said the BB governor is likely to give some instant instructions to the banks, NBFIs and NGOs to increase their financial support to the cyclone-hit people.
Sources, however, said local bankers sought an immediate guideline to provide loans to fishermen from the BB or the government when the central bank offices in Barisal and Khulna convened two separate meetings on November 25 last.
On Tuesday last, the BB at a meeting of bankers advised the commercial banks to extend all possible help to rejuvenate economic activities in the cyclone-hit areas through soft loan disbursement among the affected people.
The central bank also called upon the bankers to provide loans to fishermen and timber traders in the affected areas and sacrifice, if necessary, their profits to some extent in the greater interest of the country's economy.
During the meeting, the BB governor advised the banks, particularly private commercial banks (PCB), which have no branches in the remote areas, to link up with NGOs for ensuring financing facilities in the cyclone-hit areas.
On Thursday last, the BB asked eight government-owned banks and financial institutions to intensify disbursement of fresh farm loan along with rural credit to all sections of cyclone-affected people.
The central bank earlier asked the banks and financial institutions to intensify disbursement of fresh agriculture credit to the cyclone-affected farmers on easy terms and conditions.
Under the new measures, the cyclone-hit farmers will be eligible for fresh credit after rescheduling their previous classified loans. The banks, if necessary, may relax the provision on down payment in case of loan rescheduling.
The central bank has set the credit target at Tk 81.92 billion, which includes Tk 13.47 billion from private commercial banks and the rest from government-owned banks and financial institutions for disbursement among farmers across the country.