The Karimnagar District Cooperative Central Bank, which was reeling under acute financial crisis with losses to the tune of ₹70 crore during 2004-05, is earning profits since 2011-12. It has earned a profit of ₹16.23 crore in 2018-19 and set to earn a profit of more than ₹36 crore in 2019-20.
It was struggling hard to meet the operational expenses and pay the staff, but now making strides under the leadership of DCCB chairman Konduru Ravinder Rao. He would meet the CM soon to better the services.
The bank was initially known for extending financial assistance to raise the crops, but under the guidance of Mr Ravinder Rao, who introduced reforms in the bank, had extended financial assistance to different sectors such as housing, education, business, SHG, dairy, gold loans, poultry, sericulture, vehicles etc on par with commercial banks.
With the initiatives taken by Mr Ravinder Rao and CEO N Satyanarayana Rao, the bank turnover which was only Rs 376.07 crore in the year 2004-05 had increased to Rs 3471.72 crore as on January 31, 2020. The non-performing assets (NPA) was 7.56 per cent in 2004-05 had reached zero per cent presently. From a stage where it was unable to pay salaries, the bank had started paying dividends to its members since 2015-16 and also bonus to the employees from the profits earned.
The bank was having 208 Primary agricultural cooperative societies (PACS). However, with the implementation of Vaidyanatham committee recommendations, few non-viable PACS were merged with nearest societies and made a present total of 137 societies including 127 affiliated to DCCB and 7 to the State bank of India (SBI). The DCCB had entered into the business trade of procuring the paddy produce from the farmers from the year 2012 forcing all PACS earn profits.
Above all, the bank had opened 38 branches from 2005 onwards to 2019 making it a total of 68 branches. Besides, a total of 360 personnel were also recruited in a phased manner. To compete with other commercial banks, the DCCB introduced core banking solutions from 2012 onwards. It had opened 25 ATMs, one mobile ATM. 193 micro ATMs and 243 point of sale machines.
Talking to The Hindu , DCCB chairman K Ravinder Rao, who had occupied the coveted post for the third consecutive term, said that they would soon meet Chief Minister K Chandrashekhar Rao, who was having lots of ideas for launching farmer-centric programmes, and take measures for further strengthening the PACS. As per the wishes of the CM, he said that the DCCB would encourage the value addition to the farm products by starting food processing units and educate the farmers for the diversification of the crops to commercial crops for more profits.
