“We can better facilitate farmers through timely disbursements of agri-loans”

Ali Reza Iftekhar, Managing Director and CEO, Eastern Bank

Farmers directly engaged in agriculture, livestock, fisheries, and forestry must be targeted and prioritized for agri-loan provision since agricultural production is imperative for our country's economic growth. We can better facilitate our farmers through making timely disbursements of agri-loans in order to meet the cash requirements for fulfilling their various needs including the purchase of necessities such as fertilizers and seeds, investment in agricultural technologies and specialized equipment including irrigation systems, capitalization of operational and maintenance costs, reconstruction and recuperation if faced with natural disasters or infestations, etc.

Rice cultivation predominates the agricultural sector of Bangladesh, farmers primarily need credit facilities for the production of rice crops for its pivotal role in ensuring food security for the nation. We provide agri-loans to farmers at a 4% interest rate under the BDT 5000 crore refinance scheme of food safety initiated by Bangladesh Bank. We additionally provide agri-loans for the production of special crops including pulses, oilseeds, spices, maize, and sunflower at a concessional interest rate of 4% as an alternative for imported crops. Our bank disburses general agri-loans to various tiers of farmers through our own channel and NGO linkages, we have designed the products EBL Krishi Rin and EBL Projukti to finance farmers via branches, and the lending rate of agri-loans is currently 4% - 12%.

The annual credit policies, programs and refinance schemes formulated by Bangladesh Bank guide and support the banks in the successful disbursement of agricultural and rural credit.