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Scheduled banks have disbursed more than 74 per cent of the annual farm loan target in the first nine months of the current fiscal year (FY), a central bank official said.
The banks witnessed a high demand for agriculture credit in the July-March period, he said, terming the loan disbursement flow satisfactory.
The Bangladesh Bank is now focusing on steady disbursement of farm loans to fully develop the agro-product sector of the country, he added.
The official further said that credit disbursement has increased for strict monitoring by the central bank.
The total disbursement target was fixed at Tk 218 billion for FY 2018-19.
Some Tk 98.75 billion will be disbursed by state-owned banks and Tk 119.25 billion by private and foreign commercial banks.
The amount of loans disbursed by private and foreign commercial banks is higher than that of the state banks.
Banks disbursed loans to the tune of about Tk 162.64 billion-Tk 85.07 billion by private and foreign commercial banks and Tk 77.56 billion by state banks. Bangladesh Krishi Bank disbursed Tk 42.39 billion in the first nine months, according to the BB data.
It was followed by over Tk 14.18 billion and over Tk 6.80 billion by Rajshahi Krishi Unnayan Bank (RAKUB) and Janata Bank respectively during the period.
The central bank has repeatedly advised the banks to expedite both recovery and disbursement of farm loans, said another official.
He expressed optimism that the loan disbursement target would be achieved at the end of the fiscal year.
The agro-sector receives loans on a large scale every fiscal year, he said.