UCB joins BB’s refinance scheme to boost rural agriculture

Bangladesh Bank and United Commercial Bank PLC (UCB) have signed an agreement under a Tk 3,000 crore refinancing scheme aimed at increasing agricultural production, strengthening the agricultural value chain, and creating greater income and employment opportunities in rural areas.

The fund will provide financing for various agricultural and rural activities in different districts of the Rajshahi and Rangpur divisions, according to a press release.

These activities include agricultural production, storage and transportation of farm produce, marketing, agro-based industries, food and agricultural processing, exports, and other income-generating activities in rural areas.

Customers will be able to access loans at an interest rate of up to 7%. The maximum loan tenure will be three years, with a grace period available for certain activities, depending on the nature of the project.

Bangladesh Bank Deputy Governor Dr Md Kabir Ahmed, Executive Director Arief Hossain Khan, and Director of the Agricultural Credit Department-2 AKM Saiduzzaman were present at the signing ceremony. Representing UCB were Deputy Managing Director Md Ridwanul Hoque and Head of the SME and Agri Banking Division Mohammad Salim Chowdhury, along with other officials concerned.