Vijayawada

Rs. 9,600-crore Potential Linked Credit plan approved

NABARD's Potential Linked Credit Plan (PLP) for Krishna District for priority sector a boost for farming community. Photo: T. Appala Naidu

NABARD's Potential Linked Credit Plan (PLP) for Krishna District for priority sector a boost for farming community. Photo: T. Appala Naidu  

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The District Consultative Committee headed by Collector M. Raghunandan Rao has approved the Potential Linked Credit Plan (PLP) with an outlay of more than Rs. 9,600 crore for the priority sector in Krishna district for 2015-16 financial year. The plan was prepared by the National Bank for Agriculture and Rural Development (NABARD).

The annual credit plan of the banks for the current fiscal stands at Rs. 7,900 crore, 21 per cent less than the PLP for the next fiscal. According to the PLP, agriculture sector alone has a credit potential of at least Rs. 6,000 crore, nearly 63 per cent of the total credit plan under priority sector. However, the banks have been advised to allocate an estimated credit of Rs. 1,500 crore for development of ‘Small and Mirco Enterprises’ in the next financial year.

“A sum of Rs. 4,200 crore is projected for crop loan, production and maintenance and marketing. However, the term credit for agriculture sector will promote investments in water resources, land development, farm mechanisation, horticulture, apart from creating additional godown space,” NABARD Assistant General Manager N. Madhumurthy told The Hindu.

The banks, under the aegis of the lead bank of the district, would come up with their respective final annual credit plan for the 2015-16 fiscal, based on the recommendations on the potential linked credit plan of the NABARD, in March 2015. At least Rs. 2,000 crore credit is required for development of dairy development and above Rs. 3,500 crore for fisheries sector in the district, suggests the PLP.

Fisheries sector

On the other hand, NABARD has already launched an exclusive banking plan meant for traditional fishermen in Kruttivennu, Machilipatnam, Koduru and Nagayalanka mandals . “We are preparing a special action plan for farmers engaged in floriculture in Mylavaram mandal and it will be ready in a few months,” said Mr. Madhumurthy.

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Printable version | Jan 18, 2020 8:40:53 AM | https://www.thehindu.com/news/cities/Vijayawada/rs-9600crore-potential-linked-credit-plan-approved/article6578539.ece

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