Dhaka, Bangladesh (BBN)- Two specialized banks are going to receive Tk 8.0 billion as re-financing facility from the central bank for strengthening their ongoing farm credit disbursement.
Two proposals in this connection were approved at a board of directors meeting held in the central bank on Wednesday with Bangladesh Bank (BB) Governor Atiur Rahman in the chair, officials said.
The Bangladesh Krishi Bank (BKB) has sought BDT 5.0 billion as re-financing facility from the BB while Rajshahi Krishi Unnayan Bank (RAKUB) applied for BDT 3.0 billion on the same ground.
"We'll provide the low-cost fund for one year term to two specialised banks after receiving guarantee from the government," a senior BB official said adding that the central bank is yet to get such guarantee from the ministry of finance.
The central banker also said those two banks will have to boost their agriculture credit disbursement across the country to achieve their farm loan disbursement targets by the end of this fiscal year (FY) 2013-14.
The central bank has set agriculture credit policy and programme with a disbursement target of BDT 145.95 billion for the current FY '14.
"We're now working to achieve the overall farm credit disbursement target by the end of this fiscal year," the BB official said adding that the central bank has already strengthened its monitoring and supervision to ensure the credit facilities for each interested farmers across the country without any harassment.
BBN/SSR/AD-26Sept13-11:30 am (BST)
