ZTBL overshoot Rs 21.5 billion during last ten years: Senate
ISLAMABAD: The Senate was informed that Rs 21.5 billion including Rs 8.7 billion principle and Rs 12.8 billion mark up were waived off or written of to 313,392 borrowers by the banks during last ten years (2006-07 to March 31, 2017).
Giving replies to the House on behalf of the Finance Minister, Khurram Dastgir Khan, Minister for Commerce informed the House that the amount of Rs 21.5 billion includes Rs. 14.5 billion were waived or written-off by Zarai Taraqiati Bank Limited (ZTBL) during the same period.
He said that out of the total waivers, Rs 2.13 billion were written-off under Prime Minister’s Relief Package for war affected areas of Khyber Pakhtunkhwa (KPK)/Malakand and Federally Administered Tribal Areas (FATA) in 2009-10.
He stated that in Balochistan, the amount of agriculture loans of Rs 2.1 billion were waived or written-off to 14,477 farmers during last ten years, out of which Rs. 1.37 billion were waived or written off by ZTBL. This includes Rs. 1.4 billion (Rs. 0.531 billion Principal and Rs. 0.841 billion markup) waived off against tube wells financing.
Khurram Dastgir said currently an amount of Rs. 2.9 billion is outstanding against 5,991 tube wells in Balochistan and the government is considering its settlement in the upcoming budget.
Answering a supplementary question, the minister said, the loans outstanding more than a year, would be adjusted. But, it would not be as a policy matter as if we shall do so, it becomes a moral hazard in financial terms.
Answering another question, the minister informed the House that during the last Four years from 2013 to 2016, ZTBL has granted new loans amounting to Rs 66,376.303 million to 269,889 borrowers.
Giving province-wise detail, he said, new loans granted during 2013 to 2016 include Rs 519.025 million for farmers in Azad Kashmir, Rs 453.673 million for Balochistan, Rs 790.551 million for Gilgit-Baltistan, Rs 3624.144 million for Khyber Pakhtunkhwa, Rs 56,635.102 million for Punjab and Rs 7353.807 million loans have been disbursed to farmers as agricultural loan.
During the last four years from 2013 to 2016, the Bank has rolled over 21,691 loan cases amounting to Rs 4,872.588 million including Rs 35.021 million for farmers in Azad Kashmir, Rs 91.887 million for Balochistan, Rs 124.670 million for Gilgit-Baltistan, Rs 553.191 million for Khyber Pakhtunkhwa, Rs 2882.851 million for Punjab and Rs 1184.968 million loans were rolled off for the farmers in Sindh province.