Bangladesh Bank on Sunday asked all scheduled banks to disburse agriculture loans among the victims of cyclone Fani 19 districts.
Agricultural Loan Department of the central bank also instructed the chief executive officers and managing directors of banks to postpone crops loan recovery activities from affected farmers for one year.
Banks were also asked to disburse new loans as soon as possible after rescheduling previous years’ loan with relaxing the conditions for down payment for non-performing agriculture loans for affected farmers.
In a circular, the central bank said that cyclone Fani and storm-surge caused severe damage to crops in 19 districts. Rehabilitation programmes are needed for farmers of the areas.
The districts include Mymensingh, Sherpur, Jamalpur, Netrakona, Lakshmipur, Bogura, Joypurhat, Satkhira, Narail, Chuadanga, Madaripur, Barishal, Bhola, Patuakhali, Jhalakati, Pirojpur, Barguna, Bagerhat and Khulna.
Banks should take proper monitoring programmes so that affected farmers do not face delay or harassment in getting loan. Senior bankers of a bank, if necessary, will visit the spot to ensure speedy and hassle free loan disbursement process.
Banks spontaneously can also waive loans after taking proper approval of suitable authorities after getting application from affected farmers.
The central bank also instructed banks not to file any new certificate case.
Banks will have to send monthly report on agriculture loan disbursement to affected farmers to the central bank, said the circular signed by Bangladesh Bank general manager Md Habibur Rahman.
Want stories like this in your inbox?
Sign up to exclusive daily email
More Stories from Banking