Hike farm credit flow, Odisha banks told

The State credit potential in priority sectors has been projected at Rs  66,554.51 crore in 2017-18 which is around 13 per cent more than 2016-17.

BHUBANESWAR: The State credit potential in priority sectors has been projected at Rs  66,554.51 crore in 2017-18 which is around 13 per cent more than 2016-17. The State focus paper for 2016-17 envisaged total priority sector credit potential of Rs  58,882 crore.


The potential credit plan was around Rs  47,756 crore in 2015-16. In recent years, ancillary activities relating to food processing, export, housing and education have been included in the priority sector credit plan.


The credit potential under agriculture and ancillary sectors for 2017-18 has been projected at Rs  36,122.64 crore. This includes farm credit, crop production, water resource creation, farm mechanisation, horticulture, animal husbandry, poultry, fisheries, construction of storage facilities, land development and food processing. 


Besides, while the credit potential for micro, small and medium enterprise has been projected at Rs  16,695.17 crore, it is Rs  406.98 crore for export sector, Rs  1,183.78 crore for education sector, Rs  4,502.33 crore for housing, Rs   110.71 crore for renewable energy and Rs  240.45 crore for social infrastructure. The credit potential for other priority sector activities has been projected at Rs  7,292.45 crore.


Credit potential in the priority sector was discussed at the State credit seminar 2017-18 organised by National Bank for Agriculture and Rural Development (Nabard) here on Friday. Inaugurating the seminar, Chief Secretary AP Padhi requested the banks to enhance their credit flow to agricultural sector during 2017-18.


Padhi also emphasised on extension of credit to skilled youths who opt for self employment-oriented enterprises. He asked the banks to link Primary Agricultural Cooperative Societies (PACS) with the electronic fund transfer system of banks so that PACS could provide banking services to some extent, more particularly in unbanked gram panchayats. The Chief Secretary said moves have been initiated to computerise 2700 PACS and expressed the hope that by end of March 2017, all PACS would be computerised.  


Addressing the seminar, Development Commissioner R Balakrishnan urged Nabard to work hand in hand with the Government so that the ultimate objective of catering to real need of farmers in time could be achieved. 


Principal Secretary, Finance T K Pandey said the corporate credit plan of each bank should be designed in tune with the State Credit Plan. He said a mechanism should be developed for ensuring compatibility between corporate plan of banks and the State Credit Plan. 

He also asked the banks to communicate the applicants about the end result of their applications for loans. Even the non-approved cases must  be communicated duly, he said and added that a common application format and portal should be developed for extension of credit to agriculture sector. 


Chief General Manager, NABARD Dr KC Panigrahi gave the inaugural address.

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