Sector insiders at an event on Wednesday observed that farmers require financing facilities to sustain and expand their agricultural operations.
However, accessing financial resources can be challenging for our local farmers due to various factors.
To simplify the process and make agricultural funding more equitable, iFarmer and Eastern Bank Ltd PLC (EBL) have recently signed a Memorandum of Understanding (MoU).
Agricultural endeavors often demand high upfront costs for seeds, equipment, and infrastructure, while returns may take months or even years to materialize.
Bangladeshi farmers also remain vulnerable to unpredictable weather conditions, market fluctuations, and pests, which can hamper their ability to repay loans.
There has always been a critical need for collaborative efforts from corporates to streamline the financing measures for local farmers. Reflecting on this, EBL will now use iFarmer's farmer risk score, field monitoring, and last-mile support to provide farmers with their deserving amount of money. On the other hand, iFarmer will facilitate agriculture loans to farmers directly from the bank.
The MoU was signed at the EBL Office in 100 Gulshan Avenue, Dhaka, where M. Khorshed Anowar, DMD and Head of Retail & SME Banking, EBL; and Fahad Ifaz, CEO and Co-founder, iFarmer, signed the agreement on behalf of their organizations.
Among present dignitaries were Syed Zulkar Nayen, Head of Business, EBL; Mohammad Salekeen Ibrahim, Head of Asset, EBL; Md. Shabu Munshi, Head of Asset, SME, EBL; Irfan Islam, Banking and Financial Sector Advisor, iFarmer; Forhad Julfiker Rafel, Vice President of Field Operations; iFarmer; Ettesam Bari Rio, Assistant Manager-Financial Product & Service, iFarmer; and Kazi Fahim Farhan Sajid, Executive-Financial Product & Service, iFarmer.
CEO of iFarmer Fahad Ifaz said, “This is a game-changer for Bangladeshi agriculture! iFarmer's new partnership with EBL will empower farmers and agri-entrepreneurs, especially those in remote areas of Bangladesh, with hassle-free access to financing services. This collaboration will significantly address the challenges faced by our farmers and contribute to their social security and sustainable development. “
“We are gratified to enter into this partnership with iFarmer, because we understand the need to recognize the crucial role our farmers play in the country’s economy. We will put our best efforts to stand by the local farmers community, address the roots of their hardships, and hopefully alleviate some pressure to ensure sustainable livelihoods”, said M. Khorshed Anowar, DMD and Head of Retail & SME Banking, EBL.