MTB joins Tk3,000cr refinance scheme for northern agriculture hub
Mutual Trust Bank PLC (MTB) has joined Bangladesh Bank's Tk3,000 crore refinance fund to develop a special agriculture-based economic hub in northern Bangladesh.
According to the press release, the initiative will strengthen the agricultural value chain by supporting agricultural production, preservation, transportation, marketing, processing, value addition, infrastructure development, and export-oriented agricultural activities across districts in the Rajshahi and Rangpur divisions.
The signing ceremony was held at Bangladesh Bank on 31 August, as invited.
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Bangladesh Bank Agricultural Credit Department-2 Director AKM Sayduzzaman and MTB Acting Managing Director Chowdhury Akhtar Asif exchanged the agreement documents on behalf of their respective organisations.
Bangladesh Bank Deputy Governor Dr Md Kabir Ahmed attended the ceremony as the chief guest.
MTB Head of SME and Agri Banking Division Sanjib Kumar Dey, along with other Bangladesh Bank officials, was also present at the signing ceremony.
Under the revised scheme terms, participating banks will receive refinance facilities from Bangladesh Bank at an interest or profit rate of 3%. The maximum customer-level interest or profit rate will be capped at 7%.
The scheme has a three-year tenure from the date of issuance of the original circular.
The Tk3,000 crore fund is allocated across four major areas, with 15% earmarked for agricultural production.
Another 35% is allocated for preservation, transportation, marketing, and infrastructure development, while 35% will support the production and processing of agricultural and agriculture-based products.
The remaining 15% has been allocated for the export of agricultural and agriculture-based products.
Through its participation in the initiative, MTB aims to expand access to finance for agriculture and agriculture-based businesses in the northern region.
The bank said the initiative would also support a more efficient and sustainable agricultural value chain across the Rajshahi and Rangpur divisions.
