PLP provides credit allocations for welfare programmes, subsidy schemes

District Collector Budhaprakash M. Jyothi on Saturday released the Potential Linked Credit Plan (PLP) of the National Bank for Agriculture and Rural Development (NABARD).

The NABARD has prepared a PLP for Krishna district for 2013-14 with an outlay of Rs. 7,026.78 crore, 33 per cent more than the Annual Credit Plan (ACP) for 2012-13. He also reviewed the plan implementation of welfare schemes at the District Level Review Committee of bankers at the Sub-Collector’s office here.

The PLP envisages a credit projection of Rs. 3,100.05 crore (44 pc) for crop loans, Rs. 1426.11 crore (20 pc) for investment credit for agriculture and allied activities, Rs. 1023.11 crore (15 pc) for non-farm sector and Rs. 1,477.50 crore (21pc) for other priority sectors including SHGs.

From this year, the bank has redesigned the PLP into two parts to make a meaningful link between development planning and credit planning processes. The Part-I of the PLP contains assessment of exploitable potential in each sector during five years co-terminus with the Twelfth Five Year Plan period (2012-13 to 2016-17)

This part is prepared once in five years and is a comprehensive document for the use of banks for extending credit and to the government departments for providing necessary infrastructure and linkages, thereby facilitating a comprehensive development of various sectors.

The Part- II of the PLP comprises the exploitable potential that could be tapped with institutional credit during the reference year. This part is prepared/updated by the NABARD on an annual basis to provide background for the banks in preparing the Annual Credit Plan.

The PLP for the reference year 2013-14 envisages a higher allocation for agriculture and allied activities in tune with the Twelfth Five Year Plan’s objective of achieving inclusive growth. The assessment for crop loans is made keeping in view the modified guidelines of Kisan Credit Card (KCC) scheme.

The PLP also aims at stepping up investment credit under farm mechanisation, animal husbandry, horticulture, post harvest management and storage and marketing infrastructure. The plan provides necessary credit allocations for supporting government welfare programmes and subsidy schemes.

Overall, the projections for different sectors in rural economy has been made in the PLP on the basis of the priorities of the district administration for increasing the credit flow for weaker sections, especially the tenant farmers, SC/STs and others.

More In: Vijayawada