Tk1,664cr agricultural loan disbursed in July
Agricultural loan disbursement has increased by Tk722 crore in July FY23 compared to the same time of FY22
The banks disbursed Tk1,664 crore agricultural loans in July, which is 5.39% of the target.
The disbursement of agricultural loans has increased by Tk722 crore in the first month of FY23 compared to the same time of the previous fiscal year, according to the latest report of the Bangladesh Bank.
In July of the last fiscal year, the banks disbursed Tk942 crore agricultural loans, which was 3.32% of the annual target.
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The Bangladesh Bank has set a target of disbursing Tk30,911 crore agricultural loan in FY23, which is 8.88% higher than Tk28,391 crore targeted in the last fiscal year.
According to central bank data, in the first month of the current fiscal year farmers have repaid Tk2,450 crore loans, which is Tk358 crore more compared to the same period of the last year.
The disbursement target for the state-owned and specialised commercial banks has been fixed at Tk11,758 crore. These banks have disbursed Tk352 crore in July.
The disbursement target for the private and foreign banks has been fixed at Tk19,153 crore, out of which Tk1,313 crore has been disbursed in the first month of the current fiscal year.
Agricultural loans are disbursed under two categories: crop and non-farm (livestock and fisheries) sectors. In the first month of the current financial year, Tk1,425 crores loan has been disbursed under the crops category and Tk236 crore has been disbursed under the non-farm category.
Currently, the outstanding agricultural loans given by the banks is Tk50,757 crores. Out of that amount, the defaulted loan till July was Tk4,064 crores, which is 8.01% of the total loans.
In addition to mainstream agricultural loans, banks are also providing agricultural loans at 4% interest under the incentive package.
People involved in the sector said in view of the severe pandemic and the recent global situation, the government is giving more importance to agricultural production, which is one of the driving forces of Bangladesh's economy.
The Bangladesh Bank, which always tries to help the agricultural sector through necessary financing, has increased the agricultural loan amount in the new fiscal year. The distribution of agricultural loans in the new fiscal year is going very well and it will increase in the future, said sources.
