The National Bank for Agriculture and Rural Development (Nabard) has pegged the State’s Potential Linked Credit Plans (PLP) for 2014-15 at Rs. 1,24,563 crore, marking a growth of 21 per cent over its 2013-14 target. About 63 per cent or Rs. 78,789 crore is meant for the agriculture sector.
Participating in the State-level credit seminar 2014-15 held on Tuesday, Nabard chief general manager, Lalitha Venkatesan said the estimates for 2014- 2015 were updated taking into account new programmes, policy measures announced, emerging credit needs and the increase in the scale of finance and unit costs.
Principal secretary (finance) K. Shanmugam released a focus paper and said due to the deficit rainfall in the State for the second consecutive year, it was a Herculean task to achieve four per cent growth in agriculture for 2013-14.
Besides, the focus paper analysed the infrastructure planning required, the investments that need to be made and the credit potential or policy initiatives required for realising higher growth in the agriculture and rural sectors in the State.
It also highlighted the critical projects that need to be taken up on a priority basis and integrated with the State plan, Ms. Venkatesan said.
TN ranks second in SHG movement
Tamil Nadu was ranked second in the country in the self-help groups (SHGs) movement. Currently, there are 15.09 lakh credit-linked SHGs with an aggregate bank loan of Rs. 20,760 crore.
However, the non-performing assets in SHG financing increased from 9.58 per cent in 2011-12 to 10.81 per cent in 2012-13 due to factors such as multiple financing, multiple membership, non-adherence to basic tenets of group financing and lack of follow-ups, she said.