The Central Government has directed all financial institutions in the State to submit district-wise details regarding the flow of credit to minorities and women beneficiaries.
The State Level Bankers' Committee (SLBC) has sent a circular to District Consultative Committees (DCC) of districts in Tamil Nadu directing them to collect the requisite details from September, official sources told The Hindu in Madurai on Sunday.
This move is intended to ensure that these sections receive their due share of credit. According to the existing norms, women should receive 5 per cent of the total credit flow. According to Sachar Committee, it should be ensured that minorities obtain 15 per cent of total credit flow by March 2010.
The DCC of Madurai District, chaired by the Collector, has received the circular. All public and private sector banks, regional rural banks, cooperative societies, and State financial institutions in district such as Tamil Nadu Industrial Investment Corporation (TIIC) have been advised to submit the details sought every quarter from September, sources said.
The move is intended to monitor the credit flow to minorities and women. Till now, the details were submitted bank-wise to the Centre and Reserve Bank of India (RBI), according to the sources.
A special format has been prepared for this purpose by the SLBC and banks would have to submit details once in every quarter from September to the Convenor of the DCC, which is the Lead Bank. The Canara Bank is the Lead Bank for Madurai District.
The new format would also seek details such as credit-deposit ratio, deposit and loan advances, loans to agriculture, credit flow to small and medium enterprises, Scheduled Castes, Scheduled Tribes, minorities and women beneficiaries.
Sources said that the DCC would review the performance of flow of credit to minorities and women beneficiaries. After the review, the reports would be forwarded to the SLBC, Centre and RBI.
