Bangladesh Bank (BB) Monday asked banks to refrain from taking legal action against farmers who failed to repay loan on schedule, reports BSS.
The central bank gave the directive at a meeting with the managing directors of the six state-owned commercial and specialised banks, held at the central bank headquarters in the capital city. The banks are Agrani Bank, Sonali Bank, Janata Bank, Ruplai Bank, Bangladesh Krishi Bank and Bangladesh Development Bank.
"Some 0.2 million (two lakh) default farmers have so far been sued as loan defaulters. Among those, 10 thousand are facing arrest warrants," BB deputy governor SK Sur Chowdhury told journalists after the meeting.
He said considering the present situation of the farmers, banks have been instructed to reschedule their farm loans and solve the cases through arbitrations.
The deputy governor said BB also advised banks to strengthen monitoring of farm loan to prevent more farmers from becoming defaulters.
He said the central bank would consider assisting the farmers in case of their losses to the on-going political programme.
At the meeting, the banks have also been asked to accelerate the loan disbursement to the agriculture sector.
Banks asked not to sue defaulting farmers
FE Team | Published: February 17, 2015 00:00:00 | Updated: November 30, 2026 06:01:00
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