ISLAMABAD, Nov 26: Zarai Taraqiati Bank (ZTBL) has reduced the rate of equity contribution for tractors from 25 per cent to 15 per cent to facilitate the small farmers to obtain credit for the purchase of small tractors on more easy terms.

According to a press release issued by the bank, this step will not only give a boost to the tractor loans provided by the bank but also lessen burden on the farmer in shape of lesser equity contribution.

The reduced rate of equity would also be applicable to those borrowers whose loans have been entertained/sanctioned but where documentation is under process. It is due to good governance, financial discipline and effective credit delivery mechanism adopted by the bank management that the benefits are trickling down to the small farmers and rural poor, the press release said.