Banks operating in J&K State have extended credit aggregating Rs.7,672.06 Crore to 3,22,615 beneficiaries under Annual Credit Plan (ACP), during first three quarters of FY 2013-14 thereby registering achievement of 47%. J&K Bank alone has disbursed Rs.5,254.38 Crore, which accounts for 69% of the total credit disbursed by all banks in the State upto 31st December 2013.
This was revealed by Mushtaq Ahmad, Chairman & CEO, J&K Bank (Convenor J&K SLBC), while addressing the 92nd meeting of J&K State Level Bankers’ Committee (SLBC) Monday at Jammu. The meeting was presided over by Mohammad Iqbal Khanday, Chief Secretary, J&K Government and others.
Chief Secretary while taking review of the performance of the banks under various segments of economy under Annual Action Plan 2013-14 stated that there is lot more to be done by the banks and the line departments to achieve the goals set for the economic development of the State.
On the issue of achievements under KCC Scheme and the timeline prescribed by Reserve Bank of India for 100% achievement, Khanday impressed upon the banks/Agriculture department to put in strenuous efforts for achieving 100% target by 31st March 2014.
On opening of new bank branches during FY 2013-14, Chief Secretary stated that Banks should achieve the envisaged targets set under Branch Expansion Plan by 31st March 2014.
Mushtaq Ahmad, Chairman & CEO, J&K Bank, emphasized that access to financial system by the underprivileged and vulnerable groups is the prerequisite for poverty alleviation and social cohesion and this has always been an integral part of our efforts for promoting inclusive growth and empowerment.
While reviewing sector-wise performance of banks under Priority Sector, Chairman stated that under Agriculture Sector the banks have provided credit aggregating to Rs.1,570 Crore in favour of 1,31,366 beneficiaries against a target of Rs.3,212.98 Crore favouring 3,91,773 beneficiaries, registering achievement of 49% in financial terms and 34% in physical terms, during the period under review. He however, stressed upon all the stake holders to strive hard for achieving 100% of the allocated targets by the end of current financial year.
Under Micro & Small Enterprises Sector, banks have disbursed total amount of Rs.1,572.26 Crore in favour of 55,263 beneficiaries up to the end of Q3 of CFY.
In Education Sector banks have disbursed an amount of Rs.65.77 Crore in favour of 3,763 beneficiaries during the said period.
Under Housing Sector, banks have disbursed credit amounting to Rs.800.38 Crore in favour of 28,243 beneficiaries by the end of December 2013.
In Non-Priority Sector, the Chairman & CEO, J&K Bank stated that banks have disbursed Rs.3,264.22 Crore to 80,792 beneficiaries thereby achieving 53% of target in financial terms.
Commenting on the performance of banks under Government Sponsored Schemes in the State, Chairman informed that against the Annual Action Plan 2013-14 target of Rs.407.33 Crore for 30,712 beneficiaries for all banks operating in the State, the achievement of banks at the end of December 2013 under five major Government Sponsored Schemes, viz. NRLM (SGSY), PMEGP, SJSRY, JKSES and SC/ST/OBC is of the order of Rs.148.36 Crore spread over 7,351 beneficiaries in all the three regions of the State thereby registering a performance of 36% of the target in financial terms and 24% in physical terms. Observing that the achievement is not satisfactory by any standards, he stressed upon all the stakeholders to put in strenuous efforts to improve the position under this vital segment.
Regarding Credit Deposit Ratio, Chairman observed that against the target of 40% C.D.Ratio prescribed by Hon’ble Governor, RBI for J&K State to be achieved by end of FY 2013-14, the C. D. Ratio of all banks operating in the State at the end of Q3 of FY 2013-14 stood at 40.80% as against 35.09% during the corresponding period of previous year, which is encouraging.
In respect of providing banking services to the unbanked areas of the State he stated that “Swabhimaan” campaign/ Financial Inclusion Plan Phase-1 has been successfully accomplished by providing coverage to all the 795 unbanked villages (having population over 2000) in J&K State.
In phase II of Financial Inclusion Plan, the Chairman stated that a total of 5,582 villages, having population below 2000 have been identified in J&K State for providing banking services during FYs 2012-13, 2013-14, 2014-15 and beyond and 2331villages have already been covered upto the end of Q3 of CFY against target of 2573 villages to be covered by 31st March 2014 which accounts for 91% achievement. The position is quite satisfactory.
Regarding the GoI, MoF initiative for 100% coverage of farmers under Kissan Credit Cards, Chairman revealed that banks have been able to achieve 71% of target upto the end of December 2013 by sanctioning 7,22,212 KCCs against the target to cover 10.17 lakh farm operating families in J&K State. He stated that in view of little time left out for achieving 100% targets under KCC and the present position of the KCCs issued by the banks it seems that the 100% target is unlikely to be achieved by the end of current financial year i.e. the deadline for 100% coverage. He, however impressed upon the banks and concerned State Government departments to strive hard to fulfill the commitment for achieving 100% target under KCC. The performance under this vital segment is a matter of concern, he stated
As regards EBT Scheme, he stated that in Phase-I the scheme has been implemented in six pilot districts of the State i.e Srinagar, Ganderbal, Jammu, Rajouri, Kargil and Leh and benefits under IGNOAPS have been transferred successfully into the 25000 beneficiaries accounts. He further stated that the remaining districts shall be covered under the scheme very soon.