All
commercial Banks
Dear
Sir,
SUPERVISED
AGRICULTURAL CREDIT SCHEME.
Please refer to our circular letter No./1035-1039/PD(P)-08/2001
dated 25th April, 2001
on the captioned subject.
In
order to meet the increased demand for development loans
under the Agricultural Mandatory Credit Targets of the commercial
banks, it has been decided to withdraw the existing maximum
limit of 15% for development loans against the total mandatory
credit targets (Main Agriculture) of a bank fixed by the
State Bank of Pakistan with immediate effect. This relaxation
has, however, been made initially for a period of one year
ending 30th June, 2003. Banks are now free to
extend development loans as well as production loan to other
than small farmers upto 50% of their targets (Main Agriculture)
subject to the condition that they shall ensure to make
financing of the remaining 50% of their mandatory credit
targets to small farmers for production / crop loans.
Please acknowledge receipt.