VIJAYAWADA: The State Focus Paper (SFP) prepared by National Bank for Agriculture and Rural Development (NABARD) has projected a credit potential of Rs 2.31 lakh crore under priority sectors for Andhra Pradesh for 2021-22, an increase of 9 per cent over the potential assessed for the fiscal year 2020-21.
The credit potential for the agriculture sector has been assessed at Rs 1.58 lakh crore, forming 68 per cent of the total potential identified under the priority sectors. While potential of crop loans worth Rs 1.13 lakh crore have been identified, potential for agriculture term loans were assessed at Rs 31,805 crore, with major components being animal husbandry (Rs 12,606 crore), farm mechanisation (Rs 3,768 crore), fisheries (Rs 3,451 crore) and horticulture (Rs 2,624 crore).
While Rs 47,402 crore credit potential has been assessed for MSME sector, Rs 26,194 crore under other priority sectors, with major components being housing (Rs 14,335 crore), export credit (Rs 2,881 crore) and education (Rs 1,584 crore), Rs 12,716 crore has been assessed to agri infrastructure and ancillary activities, with food processing (Rs 3,766 crore) and construction of storage and marketing infrastructure (Rs 2,574 crore).
Releasing the State Focus Paper during the State Credit Seminar for the fiscal year 2021-22 organised in Secretariat at Velagapudi on Friday, Agriculture Minister K Kannababu congratulated the NABARD for its proactive role in fostering rural prosperity.
He lauded the NABARD for supporting the State’s initiatives aimed at creating infrastruc ture in agriculture, irrigation, social and rural connectivity sectors. Kannababu exhorted the bankers to keep abreast of the various programmes/plans of the State government and ensure that the credit plan prepared by them for 2021-22 factors these initiatives.
The minister stressed on augmenting credit flow to the tenant farmers, a thrust area of the government. He also requested the bankers to extend support in setting up of Janata Bazaars.
Commending the banking fraternity for being "partners in progress" of the State, Chief Secretary Aditya Nath Das stressed upon the continuing need of timely and adequate availability of credit to all sections of the society to ensure that every citizen is part of the State’s growth story.
Special Chief Secretary (Agriculture and Animal Husbandry) Poonam Malakondaiah indicated that the government is committed to doubling farmers' incomes through initiatives such as Rythu Bharosa Kendras and custom hiring centres, formulating policy for food processing and making efforts to set up secondary food processing clusters. She also stressed upon adequate credit flow to the fisheries sector.
Requesting the bankers to align their credit plan as per the potential assessed by NABARD for 2021-22, RBI general manager Sundaram Shankar wanted them to ensure the credit flow to new MSMEs taking advantage of the recent guidelines issued by the RBI.
NABARD's Andhra Pradesh regional office chief general manager Sudhir Kumar Jannawar said, "We have cumulatively extended financial support of Rs 27,992 crore during 2019-20 and more than Rs 32,000 crore so far in the current fiscal to the government, various corporations and banks in the State."
NABARD general manager B Uday Bhaskar made a detailed presentation on the sector-wise credit potential assessed, issues and critical interventions needed to be addressed to achieve the credit potential assessed for the fiscal year 2021-22.
