85% of ZTBL’s Rs 72 billion agricultural loans w...

Summary

• Islamabad:  Punjab received 85 percent of Zarai Taraqiati Bank Limited’s (ZTBL) Rs72.02 billion in agricultural loans during 2024, while farmers in Sindh, Khyber Pakhtunkhwa, Balochistan, Azad Jammu and Kashmir and Gilgit Baltistan shared the remaining 15 percent, an audit report has revealed.
• Balochistan received Rs9.511 billion, representing 0.4 percent, Azad Jammu and Kashmir received Rs9.917 billion, also 0.4 percent, and Gilgit Baltistan received Rs4.153 billion, or 0.2 percent.
• While ZTBL has explained why Punjab receives the largest share, the audit concern and the low allocations to several regions highlight the need for clear evidence that eligible farmers outside Punjab can access agricultural loans on equal terms.

AI Generated Summary

Islamabad:  Punjab received 85 percent of Zarai Taraqiati Bank Limited’s (ZTBL) Rs72.02 billion in agricultural loans during 2024, while farmers in Sindh, Khyber Pakhtunkhwa, Balochistan, Azad Jammu and Kashmir and Gilgit Baltistan shared the remaining 15 percent, an audit report has revealed. Despite the concern over unequal distribution, the government has not announced an inquiry, with the bank arguing that Punjab’s larger farming population, stronger branch network and easier land record verification explain its higher share of agricultural credit.

The issue was raised by MNA Shahida Rehmani, who asked the Finance Ministry whether the Auditor General of Pakistan had pointed out the unequal distribution of agricultural loans and what steps the government had taken to ensure fair access for farmers across the country.

In its reply in the National Assembly, Finance Minister Muhammad Aurangzeb quoted the audit observation that ZTBL disbursed Rs72,023 million in 2024, of which 85 percent went to Punjab. The remaining 15 percent was shared among the other provinces and regions.

The audit described the allocation as irregular and unjust, warning that the bank’s lending efforts remained concentrated in Punjab and that farmers and low income households elsewhere were being deprived of their fair share.

ZTBL rejected the suggestion that its lending pattern reflected preferential treatment. It said the province wise distribution was based on agricultural activity, the number of eligible farmers, branch availability and the efficiency of loan processing. The bank argued that Punjab’s position as Pakistan’s largest agricultural region naturally creates greater demand for seasonal loans.