BB makes farmers' account opening easier
Monday, 29 March 2010
FE Report
The central bank has relaxed rules allowing state-owned banks to open accounts for farmers with withdrawal vouchers instead of cheque book, officials said Sunday.
The Bangladesh Bank (BB) has taken the latest move as the banks are facing problems in opening such accounts due mainly to scarcity of cheque books.
"Such accounts will be treated as non-chequing bank accounts," a BB senior official told the FE, adding that the banks cannot under any circumstances refuse to open the accounts on the plea of non-availability of cheque books.
The central bank issued a circular in this connection Thursday and asked the chief executives and managing directors of the banks for taking effective measure to continue opening of such bank accounts.
Under the existing provisions, the farmers are able to open accounts with the banks with a nominal deposit of just Tk 10.
Interested farmers will require national identification card or birth certificate or agriculture card issued by the Department of Agriculture Extension to open the bank accounts, the BB said earlier.
The banks have been asked not to impose any restriction on keeping a minimum balance with the accounts and avoid any service charges on such accounts.
A total of 3.60 million bank accounts for farmers, so far, have been opened across the country in line with the BB's advice, the central bank officials confirmed.
The central bank earlier asked the commercial banks to report on the progress of opening around 18.20 million bank accounts for farmers across the country.
"We've already asked the banks to prepare the roadmap using latest information technology to open such a large number of savings accounts properly," the BB official said, adding that the farmers would be benefited using such account.
The central bank has relaxed rules allowing state-owned banks to open accounts for farmers with withdrawal vouchers instead of cheque book, officials said Sunday.
The Bangladesh Bank (BB) has taken the latest move as the banks are facing problems in opening such accounts due mainly to scarcity of cheque books.
"Such accounts will be treated as non-chequing bank accounts," a BB senior official told the FE, adding that the banks cannot under any circumstances refuse to open the accounts on the plea of non-availability of cheque books.
The central bank issued a circular in this connection Thursday and asked the chief executives and managing directors of the banks for taking effective measure to continue opening of such bank accounts.
Under the existing provisions, the farmers are able to open accounts with the banks with a nominal deposit of just Tk 10.
Interested farmers will require national identification card or birth certificate or agriculture card issued by the Department of Agriculture Extension to open the bank accounts, the BB said earlier.
The banks have been asked not to impose any restriction on keeping a minimum balance with the accounts and avoid any service charges on such accounts.
A total of 3.60 million bank accounts for farmers, so far, have been opened across the country in line with the BB's advice, the central bank officials confirmed.
The central bank earlier asked the commercial banks to report on the progress of opening around 18.20 million bank accounts for farmers across the country.
"We've already asked the banks to prepare the roadmap using latest information technology to open such a large number of savings accounts properly," the BB official said, adding that the farmers would be benefited using such account.