All the banks operating in J&K State have disbursed total credit of Rs 10268.58 Crore to 413488 beneficiaries under Priority as well as Non-priority sectors thereby registering an achievement of 63% during the Financial Year 2013-14, a bank statement said on Thursday.
“J&K Bank alone disbursed Rs 6696.20 Crore which is 65% of the total credit disbursed in the state during FY 2013-14” said Mushtaq Ahmad, Chairman & CEO, J&K Bank (Convenor J&K SLBC), while addressing the 93rd meeting of J&K State Level Bankers’ Committee (SLBC) today at SKICC, Srinagar.
Minister for Finance & Ladakh Affairs Abdul Rahim Rather, who presided over the meeting, appreciated the banks for improving the credit-deposit (CD) ratio which is above 40% in aggregate.
“Even as it’s a significant achievement to surpass the CD ratio target, overall progress still remains considerably below the national benchmark of 60%, hence banking fraternity need to redouble their efforts to meet the benchmark in the current financial year”, he said.
He also appreciated the role of banks for maintaining the priority sector lending above the benchmark of 40%. He observed with satisfaction that the share of agriculture sector to total priority sector had improved to 29.59% as on 31st March 2014 compared to 24.62% as on 31st March 2013, the statement read.
He added, “Though, the share of agriculture advances to total advances has improved to 15.21% as on 31st March 2014 yet strenuous efforts are required not only to achieve the benchmark of 18% but to surpass it. The MSE sector which holds a high potential of generating employment of the educated youth need special attention of banks.”
Rather expressed satisfaction that Phase-I of Financial Inclusion Plan had been completed successfully by all the concerned banks by providing coverage to the identified 795 villages having population above 2000. As regards Phase-II, he appreciated the concerned banks for having surpassed the cumulative targets as of 31st March 2014.
On the implementation of Electronic Benefit Transfer (EBT) scheme which is a revolutionary concept in e-governance, the statement said that Rather said that EBT Scheme has been successfully launched in 6 pilot districts of the State in the first Phase and efforts are on to extend the coverage of the scheme to remaining 16 districts. He, however, impressed upon all the stakeholders to strive hard for completing the process in the shortest possible time within the current financial year.
While expressing satisfaction over the activities of the Rural Self Employment Training Institutes (RSETIs) set by J&K Bank & State Bank of India in all the 22 Districts of the State as per their Lead bank responsibilities, he said that it was high time that these institutes were made functional from their own premises.
On the occasion, M Iqbal Khanday, Chief Secretary J&K State impressed upon the banks and Financial Institutions operating in the State to extend the credit to the underprivileged sections of the society. “Strenuous efforts are required for achieving 100% target under KCC Scheme by 30th June 2014 being the final timeline. The low performance under MSE sector is a serious concern which needs immediate attention,” he stated.
He assured the participants that he will personally monitor allotment of land to for setting up of RSETI’s to the banks.
During his address Chairman & CEO, J&K Bank, Mushtaq Ahmad emphasized that access to financial system by the underprivileged and vulnerable groups was the prerequisite for poverty alleviation and social cohesion.
“Promotion of inclusive growth and financial empowerment of people has always remained our priority,” he said.