Loan disbursement by scheduled banks to farmers involved in cultivating four types of import-replacing crops — pulses, oil seeds, spices and maize — stood at 43.40 per cent in the first seven months of the financial year 2015-16 against the annual target of Tk 90.07 crore.
The BB set a lower loan disbursement target of 90.07 crore for the FY16 as it set Tk 95.46 crore for the four types of crops for the FY15 for all scheduled banks. The banks disbursed Tk 39.09 crore between July 1 and January 28 of the current financial year.
A BB official told New Age on Thursday that the central bank had frequently asked the banks to stimulate their credit programme for the four crops, but they did not respond much to the BB’s direction.
The banks continue to be reluctant to disburse the loan as they usually earn comparatively less profit by distributing the loan to the marginal farmers.
The government set the interest rate at 4 per cent on special agricultural credit to be disbursed for cultivation of pulses, oil seeds, spices and maize.
The government gives subsidy to banks at 6 per cent interest rate so that they can get 10 per cent interest in total when they disburse loan to the farmers at 4 per cent rate.
The country usually imports huge amount of pulses, oil seeds, spices and maize to meet local demand.
The loan is being given to discourage import of the items and reduce annual import payment, the BB official said.
The banks should take initiative to disburse more for the four types of crops in the greater interest of the country’s economy, the official said.
In the first seven months of the FY16, the four state-owned banks — Sonali, Janata, Agrani and Rupali — and four specialised banks — Bangladesh Krishi Bank, Rajshahi Krishi Unnayan Bank, Bangladesh Development Bank and BASIC Bank — disbursed Tk 33.67 crore to the farmers for the four crops.
The private commercial banks disbursed Tk 4.98 crore in the first seven months of the FY16. The amount was Tk 30 lakh for the foreign commercial banks and Tk 13.75 lakh for newly established nine commercial banks.
In the first seven months of the FY16, the banks disbursed Tk 96.25 lakh to cultivate pulses, Tk 30 lakh to cultivate oil seeds, Tk 31.05 crore to cultivate spices and Tk 4.07 crore to cultivate maize.
loan disbursement by the banks to cultivate the four types of import-replacing crops also decreased by 2.65 per cent to Tk 78.51 crore in the FY15
from Tk 80.65 crore in the FY14.
The BB set a lower loan disbursement target of 90.07 crore for the FY16 as it set Tk 95.46 crore for the four types of crops for the FY15 for all scheduled banks. The banks disbursed Tk 39.09 crore between July 1 and January 28 of the current financial year.
A BB official told New Age on Thursday that the central bank had frequently asked the banks to stimulate their credit programme for the four crops, but they did not respond much to the BB’s direction.
The banks continue to be reluctant to disburse the loan as they usually earn comparatively less profit by distributing the loan to the marginal farmers.
The government set the interest rate at 4 per cent on special agricultural credit to be disbursed for cultivation of pulses, oil seeds, spices and maize.
The government gives subsidy to banks at 6 per cent interest rate so that they can get 10 per cent interest in total when they disburse loan to the farmers at 4 per cent rate.
The country usually imports huge amount of pulses, oil seeds, spices and maize to meet local demand.
The loan is being given to discourage import of the items and reduce annual import payment, the BB official said.
The banks should take initiative to disburse more for the four types of crops in the greater interest of the country’s economy, the official said.
In the first seven months of the FY16, the four state-owned banks — Sonali, Janata, Agrani and Rupali — and four specialised banks — Bangladesh Krishi Bank, Rajshahi Krishi Unnayan Bank, Bangladesh Development Bank and BASIC Bank — disbursed Tk 33.67 crore to the farmers for the four crops.
The private commercial banks disbursed Tk 4.98 crore in the first seven months of the FY16. The amount was Tk 30 lakh for the foreign commercial banks and Tk 13.75 lakh for newly established nine commercial banks.
In the first seven months of the FY16, the banks disbursed Tk 96.25 lakh to cultivate pulses, Tk 30 lakh to cultivate oil seeds, Tk 31.05 crore to cultivate spices and Tk 4.07 crore to cultivate maize.
loan disbursement by the banks to cultivate the four types of import-replacing crops also decreased by 2.65 per cent to Tk 78.51 crore in the FY15
from Tk 80.65 crore in the FY14.
Source: New Age