Dhaka, Aug 21 (V7N) – Bangladesh Bank (BB) has formed a Tk 10,000 crore refinancing scheme to boost agricultural production, ensure food security, create employment and increase income in rural areas, according to a press release issued today.
The central bank announced the "Refinancing Scheme for Agriculture and Rural Credit" with a tenure of three years from June 1, 2026.
Under the scheme, loans will be available to customers at an interest rate of 8 percent for crop and fruit cultivation, agricultural machinery, livestock and fisheries, as well as other income-generating activities in rural areas. So far, participation agreements have been signed with 42 banks under the scheme, the release said.
Under the refinancing facility, an individual borrower can obtain up to Tk 30 lakh for the crop and fruit sector, up to Tk 15 lakh for income-generating activities and other rural loans, up to Tk 20 lakh for agricultural machinery, and up to Tk 1 crore for fisheries and livestock.
The scheme also provides special support for small, marginal and sharecroppers. Loans or investments of up to Tk 5 lakh can be provided for crop cultivation against hypothecation of the crops alone, without collateral security.
Bangladesh Bank expects the scheme to expand access to finance in the agricultural sector, increase agricultural production and rural incomes, and create employment opportunities in rural areas. The central bank said the initiative would also play an important role in strengthening the country's food security.
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