Agricultural Credit Department

ACD

Circular No. 06 of 2007

December 24, 2007

The

Presidents / Chief Executive Officers

All Banks

Dear

Sirs / Madam,

Guidelines

on Horticulture Financing

Pakistan’s horticultural produce including fruit,

vegetables, flowers and ornamental plants have great demand

in both domestic and export markets. The government is

taking several initiatives for the development of horticulture

sector and its value chain. Therefore, keeping in view

the increasing credit demand for this sector, SBP in consultation

with stakeholders has developed the attached “Guidelines

on Horticulture Financing” to facilitate banks in

developing specific products to increase the flow of credit

to the horticulture.

The Guidelines provide details about horticulture including

financing to fruit, vegetables, flower & ornamental

plants production. It also provides eligibility criteria

for borrowers, types of financing, collateral requirements,

fixation of loan limit, repayment terms, loan monitoring

mechanism, etc. Banks may adopt the guidelines in the

present form or with some adjustments to suit their organizational

& operational needs and market characteristics, subject

to compliance with SBP’s regulations for agriculture

financing.

Please acknowledge receipt.

Enc:

As above.

Yours

faithfully,

Sd/-

(Muhammad

Ashraf Khan)

Director

Laws & Regulations

Zahid Husain Memorial Lecture

Enc: As above.

What's New?

Rupey ko Pehchano