KARACHI, Dec 20: The State Bank on Saturday reported that disbursement of credit to agriculture sector by commercial and specialised banks increased 7.80 per cent year-on-year to Rs74.504 billion during the first five months (July-November) of the current fiscal 2008-09.

Agricultural credit disbursement, in absolute terms, rose by Rs5.391 billion in July-November, 2008, period when compared with total disbursement of Rs69.113 billion during the same period of the last fiscal year.

Overall credit disbursement by five major commercial banks, including Allied Bank Limited (ABL), Habib Bank Limited (HBL), MCB Bank Limited, National Bank of Pakistan (NBP) and United Bank Limited (UBL) stood at Rs38.511 billion during July-November, 2008 period, compared with Rs36.642 billion during the same period of the last fiscal year, depicting an increase of Rs1.869 billion or 5.10 per cent.

Zarai Taraqiati Bank Limited (ZTBL), the largest specialised bank, disbursed Rs18.277 billion during the last five months as compared to Rs15.789 billion during the same period of the last fiscal year.

The disbursement by Punjab Provincial Co-operative Bank Limited (PPCBL) stood at Rs1.058 billion during the period compared with Rs1.612 billion during five months of last fiscal year.

Besides, 14 domestic private banks (DPBs) also loaned a combined Rs16.658 billion during the five months, up 10.54 per cent when compared with Rs15.069 billion disbursed in corresponding period of last fiscal.

The State Bank has set an indicative credit disbursement target of Rs250 billion for the agriculture sector for the current 2008-09 fiscal year which is higher by Rs50 billion or 25pc than last fiscal year’s target of Rs200 billion and Rs38 billion or 18pc higher than the actual disbursement of Rs212 billion in FY08.