ZTBL is a specialised agricultural institution with a mandate to enhance agricultural productivity and development through provision of funding as well as technology. In the mid 80s, the Bank was on the same path, particularly in the era of late Mr. Jamil Nishtar.
Although a lot of development work was done during his time but ZTBL eventually inherited a huge stuck-up portfolio for which it is making still all efforts to recover the same. Later on the priorities of the Bank were more towards the financing and the productivity enhancement and technology driven schemes were ignored all together. Here I would like to quote some figures from a past record that in the mid 90s the manpower strength of the Bank was over 8,700 and disbursement were only Rs 8 billion and recovery rate remained below 50% in that era and continued till 2005.
Immediately on assuming charge as President, ZTBL, the original vision of the bank has been refocused upon to acquire new technology and to play a pivotal role in agriculture sector was implemented. Since 2008 many initiatives in various areas have been taken to ensure that ZTBL is a vibrant bank. Since the work force of ZTBL is its main asset, many measures to motivate the ZTBL team have been taken and record promotions were made in 2009 to clear long outstanding back log of over 20 years which instilled a new spirit in the manpower of the bank. This has translated into improved performance of all areas of operations including disbursement, recovery, deposits and profits. Details on initiatives during the last one year are given at Annex-I.
The President of Pakistan, His Excellency Asif Ali Zardari, assigned the responsibility to provide the agriculture technology and credit at village level with a satellite base monitoring mechanism. Keeping in view the said visions the role of ZTBL was redefined and a new Agriculture Technology Division was created to acquire new technologies without which the development in agriculture is can not be materialised. The project to provide agriculture technology and credit at village level was successfully launched in 26 model villages where technology to enhance productivity and use of machinery, health care services for the dairy sector as well as the soil fertility was introduced. These model villages will be replicated in rest of the country in due course of time.
The disbursement of the Bank for the year ended 31.12.2009 has increased to Rs 77.6 billion as against Rs 55.9 billion in 2007 registering an increase of Rs 22 billion in just one and half year since my taking charge of the Bank.
Tractor plays a very important role in productivity enhancement as well as transportation of farm produce. Special emphasis was given on tractor financing and during the last one year tractor financing has increased to 21,609 during 2009 as compared to 10,275 in 2007.
The Prime Minister of Pakistan and President of Pakistan Mr. Asif Ali Zardari took special initiative to provide subsidise 20,000 tractors in two years. Benazir Tractor Scheme was launched. I am grateful to President of Pakistan who entrust this scheme to ZTBL and in first phase 10,000 tractors distribution was done through ZTBL through which subsidy @ Rs 200,000 per tractor or 50% of the price of tractor which ever is less has been provided to successful farmers. The total amount of subsidy given to the farmers community during last year is Rs 2 billion.
Newly Introduced Lending Products/ Schemes & Initiative Being Taken:
Establishment of Model Villages to demonstrate new technologies and enhance per acre yield.
Crop Loans insurance Scheme has been started to safeguard agri. Sector from natural disaster. Promotion of Mechanised Farming for Agriculture Productivity Enhancement in AJ&K Area Awami Zarai Scheme.
Benazir Tractors Scheme
Green Tractors Scheme:
Steps encouraging solar energy & wind mills equipments to facilitate the rural poor for cheaper/free electricity of farmers. Collaboration with foreign lending agencies/ banks to secure more resources for agri. Lending.
Concerted efforts for farm mechanisation to raise the cropping intensity and productivity. Improvement in post harvest practices and marketing of fruits/ vegetables through grading, packaging and refrigerated cargo transportation from farm to market.
Encourage lending for sprinkler and drip irrigation system in potential areas to conserve & address the shortage of water, in turn to improve the yield of crops.
Increased lending for introduction of new technologies in agriculture Sector such as small harvesters, paddy trans planters, tunnel farming, sugar-cane planters/ harvesters, hydro-phonic cultivation etc. In the process of acquiring core banking solution to ensure internal controls transparency of operations/functions.