IFIC Bank to boost farm financing under Tk 3,000cr scheme

IFIC Bank PLC has signed an agreement with Bangladesh Bank to participate in the central bank’s Tk 3,000 crore refinance scheme aimed at creating agriculture-based special economic zones in northern Bangladesh and strengthening agricultural production, storage, marketing, processing and exports.

Syed Mansur Mustafa, managing director of IFIC Bank PLC, and AKM Saiduzzaman, director of the Agricultural Credit Department-2 at Bangladesh Bank, signed the agreement at the BB headquarters in Motijheel, Dhaka recently, according to a press release.

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Under the scheme, 15 percent of the fund has been allocated for agricultural production, including crop cultivation, fisheries, livestock, agricultural machinery and rural credit activities.

Another 35 percent will finance the storage, transportation and marketing of agricultural products and infrastructure development, while a further 35 percent will support agricultural product manufacturing and processing.

The remaining 15 percent has been earmarked for financing agricultural product exports and export-oriented activities.

The refinance facility aims to boost agricultural production and value addition in northern Bangladesh, support cottage, micro, small and medium enterprises in the agriculture sector, strengthen export-oriented agricultural production and supply chains, and create jobs in rural areas.

IFIC Bank said its extensive branch and sub-branch network enables it to provide essential banking and financial services to rural customers across the country.

Participation in the scheme will further expand the bank’s financing support for agriculture and strengthen its contribution to financial inclusion and sustainable economic development, it said.

Md Kabir Ahmed, deputy governor of Bangladesh Bank; Arief Hossain Khan, executive director and spokesman of the central bank; and Helal Ahmed, chief of branch business at IFIC Bank PLC, along with senior officials from both organisations, were also present at the signing ceremony.