Home > Economy > Rural Panbang meets its own bank

Rural Panbang meets its own bank

6 February 2010

 

 The opening of Bhutan De­velopment Finance Corpora­tion Limited (BDFCL) branch in Panbang Dungkhag in No­vember last year has eased financial transactions in the dungkhag.

The dungkhag’s close prox­imity to the Indian border and frequent strikes in the neighbouring Indian states create problems for financial transactions, and carrying cash across the Indian states is risky. The need for a bank in Panbang was proposed to the National Assembly.

Since no commercial banks were keen on opening a branch in Panbang due to small customer base, BDFCL, the only rural bank in the country, started functioning as a commercial bank, provid­ing all facilities of a commer­cial bank.

Leki Tshering from Thinley­gang said opening of BDFCL branch in the dungkhag came as a boon to the people. He said that, previously, a farmer had to go to Zhemgang to take a rural loan, which was both time-consuming and expen­sive. “But now, we can avail the facilities in the dungkhag easily,” he said.

Unlike in the past, civil ser­vants can now withdraw their salary from the branch. Ac­cording to Rinchen Phuntsho, the branch manager, the sala­ries of health officials are de­posited in BDFCL. He hopes that the dungkhag office will also avail itself of the facili­ties.

Located at Ngangla Gewog RNR centre, the bank offers savings, recurring and fixed deposit facilities. The bank has 144 savings account hold­ers, two recurring and fixed deposit account holders, and 51 loan account holders. BD­FCL also provides locker fa­cilities to keep money with them.

The manager said until now Nu 5 million has been disbursed as loans to the peo­ple of the dungkhag. He said the branch is mainly meant for the rural communities. It does not intend to make profit.

Just over two months old, the people said the bank is al­ready a success. It is working hard to fulfill its mandate as a rural bank.

Currently, the bank is manned by only four officials including a security guard. Rinchen Phuntsho said they will soon go from village to village to create awareness on loan schemes the bank of­fers to the farmers.

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Posted by Chime · Filed Under Economy 

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