Banks Asked To Make Growth Inclusive Credit Available To Poor

Shimla: For making the hill state a model of inclusive growth, the state government stressed upon banks to make credit more cost effective, easily accessible and productive to poorer sections of society.

Speaking at the state level bankers committee (SLBC) review meet, Arvind Mehta, finance secretary said that banks by creating more self employment opportunities could make help in tackling the problem of unemployment.

Mehta asked the banks to focus upon the agriculture and irrigation sectors. He said that there was now a need for technical inclusion in the state which would provide banking services at the door steps of the people. “UCO Bank has started a pilot project for 100 percent inclusion in Sirmaur district, he said, which helps is creating mass financial awareness as well credit counseling.

Speaking on the occasion Ripan Murgai, convenor SLBC said that Punjab National Bank had introduced an innovative No Frill Saving Bank Account which had an overdraft facility of upto Rs 500 as a step for financial inclusion.

The convenor informed the meet that banks had issued 3,28,295 kisan credit cards to farmers in the sState and were providing credit upto Rs 3 lacs with an interest rate of 7 percent. The credit came along with a personal accident insurance cover as well as crop insurance at nominal and subsidized rates of premium, he said.

The state has a network of 1278 bank branches that have accumulated deposits of Rs 21993.40 crores and the loans extended are Rs 10713.09 crores at the end of September, said Murgai. The credit deposit ratio in the state had increased to 55.46 percent, he added.

J Sadakadulla, regional director RBI and Anil Bakshi, deputy general manager UCO among other senior bank executives and government officials were present in the meet.

Ravinder Makhaik

As Editor, Ravinder Makhaik leads a team of media professionals at Hill Post.

Spanning a career of over two decades in mass communication, as a Documentary Filmmaker, TV journalist, Print Media journalist and with Online & Social Media, he brings with him a vast experience. He lives in Shimla.