Purpose of Finance:
Four renowned companies of the country such as M/S Ali Akbar Group, Millat Tractors, PSO and Engro Services have established a joint venture company in the name of the Agrimall (Pvt) Ltd to provide agro services under one roof through its Franchisees.
The Agrimall (Pvt) Ltd has approached our Bank to provide financial help to their franchisees to establish and run these Agrimalls under their specialized management through out the country.
We have launched a Kissan Dost Agrimall Finance Scheme. All facilities required by the Franchisees of the Agrimall (Pvt) Ltd will be provided through this scheme. The farmers who will be the clients of Franchisees, will also be provided production loans through Bank’s Kissan Dost Agriculture Finance Scheme (For purchase of inputs).
Terms & Conditions
Demand Finance Max Limit Rs.2.5(M)
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Civil Construction
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5 Years
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25%
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Average 6 Months KIBOR+350 bps with floor of 8% p.a.
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Lease Finance Max limit Rs.1.5(M)
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Purchase of Mach/Equipment
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5 Years
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25%
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Average 6 Months KIBOR+350 bps with floor of 8.5% p.a.
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Running finance Max limit Rs.10(M)
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Stocks of fertilizer, seeds, pesticides, diesel, oil and tractor parts etc
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1 year Renewable
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20%
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Average 6 Month KIBOR+450 bps floor of 8.00% p.a.
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Guarantee Limit Max Rs.5.0(M)
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Issuance of L/G forCredit Purchases of stocks from parent companies.
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1 year Renewable
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25%
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As per Bank’s Schedule of Charges
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Securities
Primary
Hypothecation of stock.
Leased Assets (Registration of Tractors/Vehicles in the name of Bank and Purchase receipts of other equipments/machinery in the name of Bank).
Collateral
i.Mortgage of Site Land Building and Fixed Assets.
ii.Additional collateral in shape of urban property or agri land if value of site
land is insufficientto cover the margin.
Margin on Security
25% Margin on FSV of commercial/residential land/Agriland if assessed as per revenue record.
40% Margin of Agri land if assessed by Surveyors.
The maximum amount of Finance will be allowed upto 75% of the Oast Bai Value of land (Oast Bai is verified by Revenue Officer)
Loan Repayment & Mark up Servicing Mode:
Demand Finance:
Principal shall be repayable in five years time through 18 equal quarterly installments. Repayment shall commence after expiry of 3 months grace period. Hence 1st installment shall be payable at the end of six months of the disbursement.
Mark-up shall be recoverable quarterly.
Lease Finance:
60 equal monthly installments (Principal + mark-up) starting from the following month of the date of disbursement.
Running Finance :
Principal shall be repayable in lump sum on demand or expiry which ever comes earlier. However, mark-up shall be recoverable quarterly.