DHAKA, Nov 18 (NNN-BSS) – Bangladesh Bank (BB), has worked out a 50-billion-taka (about 500 million U.S. dollars) refinance scheme, to ensure food security in the country, as the banking regulator anticipates a possible global food crisis in the near future, said a BB circular, issued here yesterday.
The prices of several food items have gone up in the global market, which is why the central bank has created the fund, for farmers to get low-cost loans.
Under the scheme, the farmers will be able to take loans at an interest rate of four percent.
Banks will be allowed to take loans at an interest rate of 0.5 percent from the fund, meaning that, they will enjoy an interest margin of 3.5 percent after disbursing the fund to the farmers.
Small marginal farmers can take a single collateral-free loan, up to a maximum of two lakh taka (about 25,548 dollars), for the cultivation of crops, including rice, vegetables and fruits.– NNN-BSS
