KARACHI - State Bank of Pakistan has directed commercial banks to divide repayment of crop production loans under Revolving Credit Scheme (RCS) for agriculture in two instalments to facilitate the farming community. It has decided that banks may segregate repayments under RCS in two stages i.e. at least 50% of the utilized credit during the year after harvest of each 'Rabi and 'Kharif crop instead of existing condition of one time annual clean up for renewal of the facility, SBP circular said here on Tuesday. Total repayments in the loan account during the year equal to the maximum amount availed/ outstanding during the year shall also be treated as clean up of the account. The payment of mark up and other charges, however, shall be required to be made as per agreed terms and conditions, according to the circular. Moreover, the date of repayment/adjustment of individual borrower shall be determined by the bank on the basis of crop cycle, harvesting period, etc. in respective areas, the circular added. In 2003, SBP introduced RCS for banks to provide production loans to farmers for the purchase of inputs for three years with one-time documentation. The scheme has been a success as almost the entire agricultural production loans of banks are now being extended under RCS.