Regulatory Alerts2022-11-17
Added
ACD Circular No. 07: Refinance Scheme of 5,000 Crore Taka for Agriculture Sector to Ensure Food Security of the Country
The document establishes a refinance scheme of 5,000 Crore Taka funded by Bangladesh Bank to support agriculture sector lending for food security. Participating scheduled banks must sign a Participation Agreement within one month and can access refinance at a 0.50% interest rate, while disbursing loans to farmers at a maximum rate of 8% simple interest. The scheme covers specific agricultural activities including rice, fisheries, poultry, dairy, and horticulture, with loan tenors up to 18 months and specific collateral exemptions for small, marginal, and sharecropping farmers. Banks are required to maintain separate accounts, submit monthly refinance applications with supporting documents, and provide capitalized monthly reports on disbursements for monitoring purposes.