The State Bank of Pakistan has provisionally set an agricultural credit disbursement target of Rs 360 billion to banks for the year 2013-14. The target is 14.2 percent higher than the target of Rs 315 billion and 7.1 percent higher than the actual disbursement of Rs 336.2 billion for 2012-13. 
Out of the target, Rs 180.0 billion have been allocated to five large banks; Rs 69.5 billion to ZTBL, Rs 81.4 billion to domestic private banks, Rs 9.0 billion to Punjab Provincial Co-operative Bank, Rs 19.6 billion to seven microfinance banks and Rs 0.5 billion to 3 Islamic banks inducted from the current financial year.
Against the target of Rs 360 billion, banks disbursed Rs 91.2 billion during July-October, 2013 which is 25.3 percent of the target. The disbursement is 7.0 percent higher than Rs 85.6 billion disbursement during the corresponding period last year. The outstanding portfolio of agri loans rose by Rs 37.2 billion, ie, from Rs 230.2 billion to Rs 267.4 billion at end October 2013 as compared to the same period last year.
Five large banks collectively disbursed agri loans of Rs 57.0 billion or 32 percent of their annual target, higher by 6.2 percent from Rs 53.7 billion disbursed during the corresponding period last year. MCB achieved 38 percent of its annual target while NBP, HBL, UBL and ABL 36 percent, 33 percent, 22 percent and 20 percent of their individual targets, respectively. Amongst specialised banks, ZTBL could disburse only Rs 9.3 billion or 13.5 percent against its target of Rs 69.5 billion while PPCBL achieved 15 percent of its target by disbursing Rs 1.36 billion during the period under review.
Fourteen domestic private banks as a group achieved 24.5 percent of their target. However, the banks, including Sindh Bank, Summit Bank, Silk Bank, Bank Al Habib, NIB Bank and The Bank of Khyber achieved 73 percent, 41 percent, 40 percent, 36 percent, 33 percent and 32 percent of their annual targets, respectively. Soneri Bank, Bank Alfalah, Faysal and Askari Bank could achieve only 24 percent, 23 percent, 18 percent and 17 percent of their targets, respectively. Seven microfinance banks as a group disbursed agri loans of Rs 3.6 billion or 18 percent of their annual target of Rs 19.6 billion. Three Islamic banks as a group disbursed Rs 0.15 million to agri borrowers against a target of Rs 0.5 billion under the Islamic mode of financing during the period under review. -PR
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