Farm credit flow up 20.98pc in July-Feb
Sunday, 18 April 2010
FE Report
Farm credit disbursements recorded a 20.98 per cent growth during the first eight months of the current fiscal, as the central bank is continuously persuading the banks to increase lending to farmers.
"We've asked the banks and financial institutions (FIs) for taking effective measures to achieve the agri-credit disbursement target by the end of this fiscal," a senior official of the Bangladesh Bank (BB) told the FE Saturday.
He also said the central bank has expedited its efforts through strengthening monitoring and supervision on farm credit disbursements across the country using mobile phones.
The central bank earlier started monitoring the farm credit disbursement programme directly by talking to farmers and bank officials to facilitate agriculture activities.
"We'll meet the private commercial banks (PCBs) by the first week of May as part of our efforts to boost agri-loan disbursements," said the BB official, adding that the PCBs are allowed to team up with non-governmental organisations to ensure optimum disbursement of farm credit.
Eight state-owned banks and FIs along with local and foreign PCBs disbursed Tk 71.916 billion as agri-loans during July-February period of the fiscal 2009-10 (FY10) against Tk 59.444 billion during the same period of the previous fiscal, according to the central bank statistics.
During the period, eight state-owned banks and FIs disbursed Tk 54.356 billion compared to Tk 45.405 billion of the same period of the previous fiscal, while the PCBs and foreign commercial banks (FCBs) lent Tk 17.559 billion to farmers as against Tk 14.039 billion of the previous fiscal.
The banks and FIs achieved 62.47 per cent of their annual target, which has been fixed at Tk 115.12 billion, during the period under review, compared to 63.38 per cent during the corresponding period of the last fiscal, the BB's data showed.
"The banks and financial institutions have achieved over 70 per cent of their yearly target until March," the BB official said quoting initial data, which will be released within a day or two.
On the other hand, the recovery of farm loans rose to Tk 66.364 billion during the period under review from Tk 53.203 billion during the same period of the previous fiscal.
The state-run banks and FIs are: Sonali Bank Limited, Janata Bank Limited, Agrani Bank Limited, Rupali Bank Limited, Bangladesh Krishi Bank (BKB), Rajshahi Krishi Unnayan Bank (RAKUB), Bangladesh Rural Development Board (BRDB) and Bangladesh Samobaya Bank Limited (BSBL).
The loans have been given to eight agro-based sub-sectors like crops, irrigation equipment, livestock, agricultural products marketing, fisheries and poverty alleviation.
Farm credit disbursements recorded a 20.98 per cent growth during the first eight months of the current fiscal, as the central bank is continuously persuading the banks to increase lending to farmers.
"We've asked the banks and financial institutions (FIs) for taking effective measures to achieve the agri-credit disbursement target by the end of this fiscal," a senior official of the Bangladesh Bank (BB) told the FE Saturday.
He also said the central bank has expedited its efforts through strengthening monitoring and supervision on farm credit disbursements across the country using mobile phones.
The central bank earlier started monitoring the farm credit disbursement programme directly by talking to farmers and bank officials to facilitate agriculture activities.
"We'll meet the private commercial banks (PCBs) by the first week of May as part of our efforts to boost agri-loan disbursements," said the BB official, adding that the PCBs are allowed to team up with non-governmental organisations to ensure optimum disbursement of farm credit.
Eight state-owned banks and FIs along with local and foreign PCBs disbursed Tk 71.916 billion as agri-loans during July-February period of the fiscal 2009-10 (FY10) against Tk 59.444 billion during the same period of the previous fiscal, according to the central bank statistics.
During the period, eight state-owned banks and FIs disbursed Tk 54.356 billion compared to Tk 45.405 billion of the same period of the previous fiscal, while the PCBs and foreign commercial banks (FCBs) lent Tk 17.559 billion to farmers as against Tk 14.039 billion of the previous fiscal.
The banks and FIs achieved 62.47 per cent of their annual target, which has been fixed at Tk 115.12 billion, during the period under review, compared to 63.38 per cent during the corresponding period of the last fiscal, the BB's data showed.
"The banks and financial institutions have achieved over 70 per cent of their yearly target until March," the BB official said quoting initial data, which will be released within a day or two.
On the other hand, the recovery of farm loans rose to Tk 66.364 billion during the period under review from Tk 53.203 billion during the same period of the previous fiscal.
The state-run banks and FIs are: Sonali Bank Limited, Janata Bank Limited, Agrani Bank Limited, Rupali Bank Limited, Bangladesh Krishi Bank (BKB), Rajshahi Krishi Unnayan Bank (RAKUB), Bangladesh Rural Development Board (BRDB) and Bangladesh Samobaya Bank Limited (BSBL).
The loans have been given to eight agro-based sub-sectors like crops, irrigation equipment, livestock, agricultural products marketing, fisheries and poverty alleviation.