Staff Reporter

18 per cent increase in credit flow for agriculture, says Collector

DINDIGUL: Annual Credit Plan for 2008-09 was launched with a total outlay of Rs.1178.79 crore, with an aim of bridging the credit gap and to match the Potential-Linked Credit Plan.

Launching the plan at the district-level consultative committee meeting held at the Collectorate here on Wednesday, Collector R. Vasuki said the total priority sector credit flow is Rs.176.32 crore more than that previous year’s ACP and matched with 97.40 per cent of PLP.

Major amount is projected for agriculture sector. Credit flow for agriculture is Rs.747.96 crore, an 18.70 per cent increase compared to previous year projection. Equal importance is given for hi-tech agriculture, particularly for horticulture crops, minor irrigation and rural godowns, she stated.

Projection for non-farm sector is Rs.115.11 crore, up by 12.96 per cent, and for other priority sector Rs.315.72 crore, an increase of 12.33 per cent over the previous year.

Total deposits had gone up to Rs.2,465 crore and total advances touched Rs.2,977 crore. The district has achieved the plan outlay for the third quarter ending December 2007.

Advice to bankers

Ms. Vasuki advised bankers to complete economic assistance to all 135 self-help groups before March 31 as they had disbursed loan to 62 groups only.

Bankers’ active assistance to SHGs is very important as the target for direct linkage to SHGs for next year is Rs.34 crore. They should also find results of inclusive growth under total financial inclusion scheme.

With the opening of domestic market to international banks in 2009, Reserve Bank of India Assistant General Manager S. Velusamy said SHGs would become major depositors of nationalised banks.

Financial inclusion

Canara Bank Deputy General Manager S. Nagarajan said steps have been taken to bring one lakh families under financial inclusion scheme to enable them to take banking services to rural people.

Lead Bank Manager P. Jambunathan appealed to ensure disbursal subsidy for loan for rehabilitation of irrigation wells before disbursing bank loan. Bankers must be flexible in disbursing education loan, she added.