The New Nation - Internet Edition

THE effects of the Sidr-disaster are quite pronounced. The people in the affected areas have lost their hearths and homes. They are living without many basic needs including safe drinking water. Children and elderly members of rural families have started suffering from different water-borne diseases. Their crops including paddy and vegetables have been damaged. The government and social organisations are making gigantic efforts to meet the demands of the affected people. Some resources have been made available by foreign donors and national agencies for mitigating the sufferings of the affected people. The rehabilitation of the affected millions depends upon the availability of fund for rehabilitation works. The demand for social support has already increased and cyclone-battered people have started asking for loans from banks. Some affected people are reportedly approaching local money-lenders to obtain fund for meeting their demands.

The Bangladesh Bank, the central bank of the country, has started providing support to commercial banks for simplifying the loan-management procedures. The Governor of the central bank has visited affected areas in Barisal and Khulna and exchanged views with officials of banks and government agencies. As per suggestions of such officials the Governor has underscored the need for interest-free loans for the families which need urgent support to be on their own again. The decision on this and provision of loans without equity and interest will enable the affected people to survive and revive their income generating activities.

The waiver of interest on loans and making new schedules for repayment of previous loans are major decisions being taken by the government agencies including the Bangladesh Bank. Under-utilisation of the fiscal resources of the banks and higher amounts of surplus liquidity with those have since kept their deposits as idle money. That being so, the care and attention to the Sidr-affected people in different areas have to be made by ensuring productive uses of the money.

The central bank has reportedly asked all banks to disburse seventy-to eighty percent of targeted agricultural loans within December and January of the current fiscal year. The terms and conditions thereof have to be made easy and favourable to the people in rural areas. The distribution of loan without interest should be made speedy. The recipients of loans should be given the money, without involvement of middlemen and local touts, who for years, syphoned off part of the loan money and kept the burden on repayment of recipients of loans.