Coimbatore

Potential-linked credit plant for Erode district released

District Collector H. Krishnanunni (centre) releasing the credit plan at the Erode Collectorate on Friday.  

The National Bank for Agriculture and Rural Development (NABARD) has estimated a potential-linked credit plan of ₹15,259.50 crore for the Erode district for the year 2022-23.

District Collector H. Krishnanunni released the plan documents on Thursday and asked the officials to expedite the process of overall development of agriculture and allied activities by exploiting the identified potential.

He further said that the bank credit is an important component for economic transformation and forms the backbone of development planning in the State.

The Collector advised bankers to play a proactive role in the sanction of loans as there is a renewed interest in agriculture and allied activities among the rural youth. They need guidance on banks’ expectations with regard to loan sanctions, terms and conditions and various subsidy schemes available under the Centre and State government schemes, he said.

The total credit projection for agriculture, including agriculture infrastructure and allied activities is estimated to be ₹8,113 crore while the credit projection for micro, small and medium enterprise (MSME) sector stood at ₹4,449.75 crore.

As per the revised guidelines on priority sector lending by the Reserve Bank of India, credit potential for agriculture infrastructure, export credit, education, housing, renewable energy, involving bank credit is estimated at ₹606.78 crore, ₹307.50 crore, ₹438.37 crore, ₹976.87 crore and ₹64 crore respectively. The projected estimates for the year 2022-23 is 10.91% higher than that of 2021-22. Lending by the formal sector to micro credit, including self-help groups/ joint liability groups is assessed at ₹847.87 crore.

T. Ashok Kumar, District Development Manager, NABARD, Erode said that the assessment of potential under various sectors had been made keeping in view the growth trends, current levels of achievement, changes in unit costs, revised scales of finance and trends in credit flow to various sectors. G. Anandkumar, District Lead Manager, and other officials were present.


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Printable version | Dec 7, 2021 5:10:59 AM | https://www.thehindu.com/news/cities/Coimbatore/potential-linked-credit-plant-for-erode-district-released/article37131306.ece

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