SBP extends agriculture loans tenor to five years

The State Bank of Pakistan extended agricultural loans tenor from three to five years for Small and Rural Enterprises under the Credit Guarantee Scheme to facilitate eligible farmers for purchase of tractors and other agricultural implements, says a circular letter addressed to all banks and micro finance banks, issued on Friday.
To avoid portfolio concentration in tractor and other implements financing, the aggregate financing under this category shall not exceed 20 percent of the total allocated guarantee limit of the bank, the circular added.-PR