Bangladesh Bank on Sunday fixed the agri credit disbursement target at Tk35,000 crore for FY24, 13.60% higher than the previous year’s target of Tk30,811 crore.
Considering the increased demand of agricultural and rural credit, the disbursement target for the state owned and specialized commercial banks is fixed at Tk12,030 crore and for the private and foreign commercial banks at Tk22,970 crore, the central bank said in a press release issued on the day.
In the previous FY23, all the scheduled commercial banks disbursed agricultural and rural credit of Tk32,829.89 crore, which is approximately 106.55% of the target.
The agricultural and rural credits were disbursed among 3,618,545 people, in total of which 1,881,933 women borrowers received Tk12,752.46 crore.
Beside this, 2,736,087 small and marginal farmers received around Tk22,402.15 crore from different banks.
Moreover, Tk18.09 crore was disbursed among 3,449 farmers of Char, Haor and less developed areas of the country.
Among the other policies, the Bangladesh Bank also increased the disbursement ratio from 30% to 50% of individual bank’s targets through its own networks.
It also instructed the banks to disburse minimum 13% in the fisheries sector and minimum 15% in livestock sector of banks’ own target.
Special instructions have also been issued regarding disbursing agri credit for agriculture at rooftop, as well as cultivating Vannamei prawns, Crab, and Kuccia.
The central bank also instructed banks to include Credit Norms for black rice, pati grass and avocado.
There has also been an increase in the ceiling at Tk5 lakh for income-generating activities in rural areas, as well as disbursing agri-credit to the new farmers at priority basis, increase the disbursement of agri credit at agri-equipment subsector, and also disbursing agri credit to establish livestock farms at the leased lands besides the own lands of the farmers.
Instructions have also been given to make the branch officials accountable to the bank’s appropriate authority for not achieving the target, as well as taking steps for recruiting necessary manpower at the branch levels.