SoBs asked to give farmers reprieve from certificate cases

BB advises to use persuasion in recovering defaulted farm loans
Bangladesh Bank on Monday asked six state-run banks to give farmers relief from certificate cases by rescheduling their defaulted farm loans. The BB asked the banks not to file any fresh certificate case against farmers as the central bank gave importance on recovering the defaulted farm loans through persuasion. The directives came from a meeting between the senior officials of the central bank and the managing directors of the six state-run banks at the BB headquarters in the capital.
BB deputy governor SK Sur Chowdhury presided over the meeting.
The six banks are Sonali Bank, Janata Bank, Agrani Bank, Rupali Bank, Bangladesh Krishi Bank and Rajshahi Krishi Unnayan Bank.
Sur told reporters after the meeting that it was illogical that farmers would have to face certificate cases due to their write-off loans.
‘More than two lakh farmers have already faced certificate cases and courts issued arrest warrants against 10,000 of them. We should not continue the trend as the farmers are on the run to avoid arrest warrant,’ he said.
The BB asked the banks to withdraw the certificate cases filed against the farmers on mutual understanding, he said.
The central bank gave directives to the banks to take initiatives to free the farmers from any type of harassment in receiving farm loans in the days to come, he said.
He said, ‘The BB has asked the banks to hold awareness programmes for the farmers so that they will not be loan defaulters. Besides, we have asked the banks to give awards to the farmers who will show the best performances in repaying loans.’
According to the latest central bank data, the number of unsettled certificate cases stood at 2,05,372 as of November 30, 2014 from 2,02,274 as of January 31, 2014.
The defaulted loans involving the certificate cases stood at Tk 570.41 crore as of November 30, 2014 from Tk 552.70 crore as of January 31, 2014.
Courts issued arrest warrants against 10,224 farmers between 1991 and 2014 as they failed to repay bank loans in time, the BB data showed.
A BB official said the six state-run banks filed certificate cases with the executive magistrate’s courts to recover defaulted loan up to Tk 50,000 from farmers.
The trend in settling the certificate cases usually maintain a slower pace than that of filing the new cases, he said.
The BB data showed that the six state-run banks filed 2,504 certificate cases against farmers in November last year while the courts settled only 1,710 cases in the month.
In January 2014, the banks filed 3,785 certificate cases while the courts settled 2,499 cases in the month.
Against the backdrop, the BB asked the banks to speed up their farm loan recovery programme by avoiding certificate cases.

-With New Age input

Related News

New MD appointed to state-owned Sonali, Agrani, Rupali banks

Business Desk : dhakamirror.com The government appointed new Managing Directors to Sonali Bank, Rupali Bank and Agrani Bank. The Ministry of Finance’s Financial Institution Division issued three separate circulars regarding the appointments on Sunday. Afzal Karim, managing director of Bangladesh House Building Finance Corporation, has been appointed as the chief executive officer (CEO) and managing ... Read more

Pacific jeans installs rooftop solar power plant

Business Desk : dhakamirror.com A rooftop solar power plant with automatic cleaning system and a capacity of 3.5mw per day has been installed at Universal Jeans Ltd, a concern of Pacific Jeans, at the Chattogram EPZ, at a cost of $0.5 million as part of its green energy initiative. This 3.5mw electricity will meet 10% ... Read more

Bangladesh sets stagger industry holidays amid energy crisis

Business Desk : dhakamirror.com To lessen the frequency and duration of power outages in the midst of an ongoing energy crisis, the Bangladeshi government has established staggered weekly holidays for industrial hubs. A notification establishing the area-wise weekly off was published by the Department of Inspection for Factories and Establishments under the Ministry of Labour ... Read more

BCCCI signs MoU with BIAC

Business Desk : dhakamirror.com The Bangladesh China Chamber of Commerce and Industry (BCCCI) and Bangladesh International Arbitration Centre (BIAC) signed a memorandum of understanding (MoU) in Dhaka on Wednesday. Kaiser A Chowdhury, chief executive officer of the BIAC, and Al Mamun Mridha, acting secretary general of the BCCCI, signed the deal at the BIAC secretariat ... Read more

HSBC facilitates social loan financing for Brac

Business Desk : dhakamirror.com In a recent program, the Hongkong and Shanghai Banking Corporation (HSBC) in Bangladesh facilitated social loan financing for brac. In accordance with the agreement, HSBC will provide money to BRAC in the amount of Tk 6.12 billion to carry out social development projects, said a press release. This is the country’s ... Read more

StanChart’s first automated over-the-weekend loan for Nestlé Bangladesh

Business Desk : dhakamirror.com In accordance with its distributor finance program, Standard Chartered Bangladesh has completed the country’s first automated over-the-weekend loan disbursement, according to a press release. The first client to receive the funds from a distributor financing loan on a weekend was Nestle Bangladesh, This enhancement will empower distributors, which are usually small ... Read more

Bangladesh’s Meghna Aviation orders 2 Bell helicopters to purchase

Business Desk : dhakamirror.com Meghna Aviation Ltd. in Bangladesh has inked a contract to buy two Bell helicopters—a Bell 505 and a Bell 407GXi—according to a statement from Bell Textron. Meghna Aviation was founded in 2011 which is a member of the Meghna Group of Industries, a significant conglomerate with headquarters in Bangladesh that employs ... Read more

HSBC to introduce Female Entrepreneur Fund in Bangladesh today

Business Desk : dhakamirror.com Hongkong and Shanghai Banking Corporation (HSBC) will introduce the “Female Entrepreneur Fund (FEF)” in Bangladesh today as part of its global commitment for assisting female entrepreneurs. According to a news release, the program’s goal is to enhance financial literacy, networking, and funding for women entrepreneurs in Bangladesh through the FEF project. ... Read more

First female head of retail banking at HSBC

Tanmi Haque has been appointed Country Head of Retail Banking, HSBC Bangladesh, effective from Monday. Tanmi succeeds Ahmed Saiful Islam who is moving to a new regional role in Hongkong within the bank according to a press release. Before joining HSBC, Tanmi was Head of Priority and Wealth, Standard Chartered Bank and has also worked ... Read more

Nova Intima will put $28 million into Bepza Economic Zone

Business Desk : dhakamirror.com The manufacturer of women’s underwear Nova Intima signed a contract yesterday with the Bangladesh Export Processing Zones Authority (Bepza) to invest $28 million in the Mirsharai Bepza economic zone of Chattogram. With this investment, 60 million units of underwear and related materials and accessories will be produced yearly, resulting in 5,625 ... Read more

vivo launches short film contest to win X80

vivo has recently announced ‘Visual Creator Short Film Contest’ in Bangladesh and winners will get its latest X-series smartphone vivo X80, said a press release. The smartphone, released recently, was used to shoot a short film titled ‘Chakrakar’ starring Afsana Mimi, Yash Rohan and Nova Firoze. The competition will take place from June 15 to ... Read more

RAK Ceramics will establish bathroom accessories plant

According to business executives, RAK Ceramics (Bangladesh) would invest Tk 95 crore to build a bathroom fittings plant with the ability to create 1,500 faucets, shower heads, and all other relevant accessories in an effort to offer less expensive alternatives to imports. On Thursday, the listed international ceramics company announced its choice in a filing ... Read more

Syngenta Bangladesh appoints new country general manager

Mohammad Hedayet Ullah was recently promoted by Syngenta Bangladesh to the position of country general manager. Hedayet Ullah will simultaneously assume the role of a member of the Syngenta Asia Group Leadership Team, according to a press release, Hedayet replaces AMM Golam Towhid, who has been appointed as regional commercial operations lead for new farming ... Read more

Brac Bank raises Astha fund transfer limits

Brac Bank has enhanced the fund transfer limits on its Astha mobile app and Astha web interface to provide customers with a better digital banking experience.Account to account transfer limits in Astha has been increased to Tk 10 lakh daily. These new limits are applied to all four types of transfers – other bank transfers ... Read more

Electro Mart rolls out new Konka TVs

Electro Mart, a leading consumer electronics company in Bangladesh, recently unveiled new models of Konka android voice-control televisions at the group’s corporate office in Gulshan, Dhaka, according to a press release.

Elon Musk cancels $44 billion Twitter agreement

Business Desk : dhakamirror.comThe CEO of Tesla and richest man in the world, Elon Musk, said that he was canceling his $44 billion agreement to purchase Twitter. According to Musk, the social media business violated numerous terms of the merger agreement, and as a result, the deal is being terminated. On the other hand. Twitter ... Read more

286 ISPs will be unplugged

Business Desk : dhakamirror.comFor failing to transfer their licenses in compliance with regulations, the telecom regulator has ordered International Internet Gateway (IIG) service providers to unplugged bandwidth connections of 286 internet service providers (ISP).The existing ISP licensees were required to convert their existing licenses to four new categories by December 2021 in accordance with the ... Read more

SIM ban unexpected, says GP since it outperformed benchmark

Business Desk : dhakamirror.com According to Grameenphone the latest ban on SIM sales from the telecom watchdog was unexpected. The operator will decide how to proceed after reviewing the regulator’s letter relating to the suspension. The leading telecom operator was directed not to sell new SIM cards by the Bangladesh Telecommunication Regulatory Commission (BTRC) on ... Read more

BASIS to promote local IT in Europe

The Bangladesh Association of Software and Information Services (BASIS) is set to promote local IT products and services in the European market. A delegation of the top ICT trade body in collaboration with the Export Promotion Bureau (EPB) will visit four European countries – Austria, Hungary, Slovakia and the

LG teams up with Rangs Industries

LG Electronics in Bangladesh, the global leader in technology and manufacturing, has signed a partnership agreement with Rangs Industries. Peter Ko, managing director of LG Electronics in Bangladesh, and Yeamin Sharif, divisional director of Rancon Electronics Division, signed the deal at the Rangs eMart showroom in