Anisul Islam Noor :
Bangladesh Krishi Bank (BKB) is in the sorry state for sanctioning loan in the non-agriculture sector and poor recovery.
BKB disbursed about Tk 17000 crore till last year, of which the recovery of Tk 4678 crore has become doubtful. Most of the outstanding amount was disbursed to the 20 big business houses.
The government had paid BKB Tk 2000 crore as capital in last seven years for keeping the bank in operation. Now the bank has requested the government for Tk 7000 crore more for the same purpose.
Though the BKB was established to work for farmers and agriculture entrepreneurs, the bank’s top officials later sanctioned a big amount of money in the non-agriculture sector since 2008.
The government, as such, is now thinking of shutting down the operation the first ever specialized bank, which was established to work in the agriculture sector.
The top loan defaulter is Md. Jasim Ahmed, owner of Fair Yarn Processing limited. In 2010, the bank’s Karwan Bazar Branch disbursed Tk 321.66 crore to Jasim Ahmed, who he did not pay a single installment of loan in last six years.
Abdul Khaleque Pathan, owner of Keya Yarn Limited, was sanctioned Tk 133 crore loan at Kawan Bazar Branch. But he did not also pay a single installment in last five years.
Not only the above two borrowers, many other borrowers like them in Dhaka, Chittagong and Rajshahi regions did the same thing. The sanction of loan in the non-agriculture sector and non-payment of installment has made the bank vulnerable.
Executive Director and spokesman of Bangladesh Bank Subhankar Saha said, the central bank has presented the Ministry of Finance the total scenery of the BKB.
The Bangladesh Bank has, however, has been trying to recover the loans sanctioned in the non-agriculture sector, he said.
A senior official of BKB told this reporter that the bank itself should be held responsible for the sorry state.
Now the bank has reached near the bankruptcy. Those officials who played a role in diverting loan to the non-agriculture sector had gone to retirement or left the country with whole families, the official said.
Chairman of BKB Mohammad Ismail told The New Nation yesterday that BKB had decreased interest rate and even remitted total interest in some cases as per government decision.
However, as the BKB is a state owned bank, the government has to supply capital to keep the bank in transaction, he said.
Bangladesh Krishi Bank (BKB) is in the sorry state for sanctioning loan in the non-agriculture sector and poor recovery.
BKB disbursed about Tk 17000 crore till last year, of which the recovery of Tk 4678 crore has become doubtful. Most of the outstanding amount was disbursed to the 20 big business houses.
The government had paid BKB Tk 2000 crore as capital in last seven years for keeping the bank in operation. Now the bank has requested the government for Tk 7000 crore more for the same purpose.
Though the BKB was established to work for farmers and agriculture entrepreneurs, the bank’s top officials later sanctioned a big amount of money in the non-agriculture sector since 2008.
The government, as such, is now thinking of shutting down the operation the first ever specialized bank, which was established to work in the agriculture sector.
The top loan defaulter is Md. Jasim Ahmed, owner of Fair Yarn Processing limited. In 2010, the bank’s Karwan Bazar Branch disbursed Tk 321.66 crore to Jasim Ahmed, who he did not pay a single installment of loan in last six years.
Abdul Khaleque Pathan, owner of Keya Yarn Limited, was sanctioned Tk 133 crore loan at Kawan Bazar Branch. But he did not also pay a single installment in last five years.
Not only the above two borrowers, many other borrowers like them in Dhaka, Chittagong and Rajshahi regions did the same thing. The sanction of loan in the non-agriculture sector and non-payment of installment has made the bank vulnerable.
Executive Director and spokesman of Bangladesh Bank Subhankar Saha said, the central bank has presented the Ministry of Finance the total scenery of the BKB.
The Bangladesh Bank has, however, has been trying to recover the loans sanctioned in the non-agriculture sector, he said.
A senior official of BKB told this reporter that the bank itself should be held responsible for the sorry state.
Now the bank has reached near the bankruptcy. Those officials who played a role in diverting loan to the non-agriculture sector had gone to retirement or left the country with whole families, the official said.
Chairman of BKB Mohammad Ismail told The New Nation yesterday that BKB had decreased interest rate and even remitted total interest in some cases as per government decision.
However, as the BKB is a state owned bank, the government has to supply capital to keep the bank in transaction, he said.
