Dhaka, Bangladesh (BBN) – The central bank of Bangladesh is going to strengthen its monitoring for ensuring hassle-free disbursement of farm loans, particularly in the flood-affected areas, to facilitate boosting agriculture production.
Ten branch offices of Bangladesh Bank (BB), the country’s central bank, have already been instructed for taking effective measures in this connection, according to officials.
The central bank has taken the latest moves for providing adequate credit support to the farmers in time without any harassment to facilitate the overall agriculture production, they added.
Besides, the BB is now working to revise provisioning requirement against unclassified agriculture loans to encourage the banks to invest more in the priority sector in future.
Currently, the banks have to keep 2.50 per cent provision against unclassified agriculture loans.
“We’re working to increase the overall production in the agriculture sector through enhancing credit facility to the interested farmers across the country,” a senior BB official told BBN in Dhaka.