ACD Circular Letter No. 03: Refinance scheme on Milk Production and artificial insemination sector

Bangladesh Bank (Central Bank of Bangladesh) Head Office Motijheel, Dhaka-1000 Bangladesh

ACD Circular Letter No. - 03 Date: 18/08/2016

Managing Directors / Chief Executive Officers Sonali / Janata / Agrani / Rupali / Basic / Barishal / IFIC / Midland National Bank Ltd. Bangladesh Krishi Bank, Rajshahi Krishi Unnayan Bank, Ansar-VDP Development Bank Commercial Banks, IDLC Finance Ltd. Head Offices Dhaka/Rajshahi.

Regarding the policy guidelines for operating the refinance scheme to provide loans at a 5% interest rate with the aim of making Bangladesh self-sufficient in milk.

Dear Sir,

Reference is drawn to ACFID Circular No. - 02 dated 02/06/2015 on the subject cited above. Paragraph 8(x) of the said circular shall be replaced by the following paragraph:

"Other prevailing policies issued by Bangladesh Bank applicable to the aforementioned loans, such as the time period for receiving and processing applications, determination of borrower eligibility, use of passbooks, loan distribution, proper use of loans, supervision and recovery processes, shall be followed as usual. However, no auxiliary collateral shall be accepted in the case of loan disbursement."

All other instructions contained in ACFID Circular No. - 02 dated 02/06/2015 and ACD Circular Letter No. - 03 dated 25/08/2015 regarding this matter shall remain unchanged.

These instructions shall take immediate effect.

Yours faithfully,

(Prabhash Chandra Mallick) General Manager Phone: 9530138 Agricultural Credit Department