B Mirror Report: Bangladesh Bank has introduced a priority mechanism under its agricultural refinancing scheme to improve access to formal credit for marginal and landless farmers, with Farmer Smart Card holders set to receive preferential consideration.

In a circular issued on Tuesday, the central bank instructed commercial banks to open Tk 10 bank accounts for Farmer Smart Card holders and give them priority in loan disbursement in line with the Department of Agricultural Extension’s proposed “Farmers Smart Card Policy-2025.”

However, Bangladesh Bank clarified that farmers who do not yet possess smart cards must not be excluded from the refinancing facility. Banks have been directed to ensure equal access to agricultural credit for eligible marginal and landless farmers regardless of card ownership.

The circular also calls for special support to farmers affected by recent heavy rainfall and flooding that damaged mature paddy and other standing crops in several regions, particularly the haor areas.

Banks have been asked to prioritise affected farmers in Sylhet, Sunamganj, Habiganj, Kishoreganj, Netrokona and Mymensingh, as well as other disaster-hit districts, when providing refinancing-backed agricultural loans.

According to the central bank, the financing support is designed to ensure quick access to working capital, enabling farmers to recover from crop losses, purchase essential inputs and resume farming activities without significant delays.

The initiative is part of broader efforts to protect rural livelihoods, strengthen climate resilience and maintain food production amid increasing weather-related challenges.

Bangladesh Bank said all other provisions of the existing agricultural refinancing scheme will remain unchanged.

The government has already decided to introduce Farmer Smart Cards nationwide to simplify farmers’ access to subsidies, credit facilities and agricultural incentives. Around 16.5 million farmers are expected to be brought under the programme over the next four years.

The scheme will also be extended to fishermen and dairy farmers, aiming to reduce longstanding barriers to accessing government support and formal financial services.