RDB Says Loans To Be Repaid In Time

0
612

The Rural Development Bank (RDB) said all loans disbursed under the emergency fund since last October will be repaid in time because the last few rice harvests have been successful.

wikimedia/Paxse/CC BY-SA

RDB director Kao Thach said the maturity date of the loans will not have to be extended to help borrowers pay, as it happened last year.

“Loan payments are due in June, and we expect that all rice millers will pay back in time,” Mr Thach said. “The rice sector has been doing well during this period so we expect no problems with payments.”

In October RDB disbursed $50 million of government funds to rice millers as part of its emergency fund.

Launched in 2016, the government-led emergency fund aims to help rice millers purchase paddy rice from farmers.

Mr Thach said the bank plans to increase the emergency fund in upcoming years.

“The government aims to export up to 1 million tonnes of rice to international markets,” Mr Thach said. “With only $50 million in the emergency fund, this will probably not happen.”

Last month, China signed an agreement that expanded its import quota for Cambodian rice from 300,000 tonnes to 400,000 tonnes for 2019 and 2020.

This article was  originally published in the Khmer Times.