Nay Pyi Taw farmers get cooperative loans
SOME farmers say the duration of the six-month loans now being handed out by the agriculture ministry is too short. The Ministry of Agriculture, Livestock and Irrigation yesterday gave cooperative loans worth K500 billion (US$420 million) to the Nay Pyi Taw Council area in a ceremony to mark International Day of Cooperatives 2016.
Nay Pyi Taw, which comprises eight townships, has 283 cooperative associations with 3049 members, according to the ministry’s figures. “We need to give these loans to our members at once but it may take two or three days to reach some remote areas,” U Tun Wai of the Pyi Kyaw cooperative association in Nay Pyi Taw’s Pyinmana township told The Myanmar Times.
The funding comes from China’s EXIM Bank at a 1.5 percent monthly interest rate, said U Myo Aung, director of the Cooperative Department. “These are six-month loans to be repaid in full at term,” he said.
“They said the loans would be available from July 6. We are going to grow paddy, so we need the money,” said farmer U Aung Gyi from Pyinmana township. But he added that the term of the loan was too short. “When the term of the loan expires, we have to repay the whole amount, so we will need to sell everything we have for debt repayment, unless it’s harvest time. Some farmers don’t want these loans any more.”