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Research Workshop on Addressing Agriculture through Value Chain Financing held at BIBM


 Press Release
Dhaka, October 29, 2018
A day long research workshop was held at the Bangladesh Institute of Bank Management (BIBM) on October 29, 2018, in its auditorium. A paper titled Addressing Agriculture through Value Chain Financing – How to Attract Banks was presented in the workshop by Md. Mohiuddin Siddique, Professor  & Director (DSBM) of BIBM. Other members of the research workshop team are SK. Nazibul Islam, Faculty Member of BIBM; Tanweer Mehdee, Assistant Professor of  BIBM; Rexona Yesmin,Assistant Professor of  BIBM and Ismet Quoyes, Joint Director of Bangladesh Bank.
BIBM Director General Toufic Ahmad Choudhury Chaired the Program. A good number of participant’s senior bank executives, academicians, media representatives, faculty members, officers of BIBM participated in the research workshop. The study identifies the problem areas as well as success factors in agriculture financing of Banks in Bangladesh.
S.M. Moniruzzaman, Deputy Governor of Bangladesh Bank was present in the workshop as the chief guest. BIBM Muzaffar Ahmad Chair Professor Barkat-e-Khuda, Helal Ahmed Chowdhury,Supernumerary Professor of BIBM; Md. Yasin Ali, Supernumerary Professor of BIBM; Alaudin A. Majid, Chairman of BASIC Bank Limited; Md. Ali Hossain Prodhania, Managing Director of Bangladesh Krishi Bank spoke among others at the workshop.
The Survey found, farm loan has been declining for the last few years thanks to the reluctance of private and foreign banks to provide financing to the agriculture sector. Agriculture loan accounted for less than 6 percent of the total outstanding loans in 2016-17, down from 8 percent in the 2011-2013 period and 10 percent in 2006-07. Some 82 percent of the respondent banks said they now have the capacity to give more emphasis on agricultural finance.
S.M. Moniruzzaman said, Banks provide agro finance mainly to comply with the mandatory rules of Bangladesh Bank. The banking sector now badly needs the diversification of areas of business and inclusion of a new class of borrowers. So, value chain financing may be one significant area for further growth of the banking industry.

 

Written by Manager

Tuesday 30th October 2018