For agricultural and rural development, from July to September, Myanmar Agricultural Development Bank (MADB) has granted a two-step loan of Ks38.568 billion to farmers in regions and states.

The MADB granted a loan of over Ks9.536 billion to farmers in Mandalay region and over Ks8.231 billion in Bago region, over Ks6 billion in Ayeyawady Region, over Ks2.384 billion in Yangon Region, over Ks nine million in Magway Region, over Ks 2.9 billion in Sagaing Region, over Ks460 million in Tanintharyi Region, over Ks 3.779 billion in Shan State, over Ks two billion in Mon State, over Ks600 million in Kayah State, over Ks 300 million in Kachin State and Over Ks 1 billion in  Nay Pyi Taw.

There is no loan disbursement in Kayin, Chin and Rakhine States, according to the MADB.

Under the JICA’s two-step loan program, the MADB will grant an agricultural loan of about Ks180 billion (Japanese Yen 15 billion) with the 40-year repayment period including the 10-year grace period.

Thet Thet Lwin, assistant manager of the MADB (headquarters) said in the State-owned newspaper issued on October 18, “The MADB will grant a loan of up to Ks 500,000 to each farmer and up to Ks500 million to a group. The MADB will disburse loans to farmers to purchase farm equipments and trucks. Priority will be given to farmers who will buy farm equipments. The two-step loan program will go only to about two per cent of farmers in the country though the Ks 180 billion loans are huge in amount.”

The bank will not grant loans to all farmers and groups. It has criteria used for assessing loans. The bank decides loan amounts based on farmers’ work size, the needs for loan and the ability to repay loan.