Dimapur, March 6 (MExN): The National Bank for Agricultural and Rural Development (NABARD) has prepared a Potential Linked Credit Flow Plans (PLPS) for all the districts of the state which would form the basis of preparing the district-wise annual credit Plan of the Banks, has projected a Rs 146.87 crore credit requirement for Nagaland state during the 2007-08.
This credit requirement have been addressed during the State Credit seminar for 2007-08 on March 2 last at the conference hall of Hotel Saramati where Toshi Aier, IAS Principal Secretary, Government of Nagaland, Rural Development Department was the chief guest.
A press note received here stated that out of the credit requirements of Rs 146.87 crore for Nagaland during 2007-08, Rs. 65.27 crore is the credit assessed for the agriculture and allied sector while the total credit requirement for the industries and other priority sector has been assessed at Rs. 32.15 crores and Rs. 43.34 crores respectively. A sum of Rs.6.11 crore has been projected for the Agro & Food Processing sector. All banks have therefore been advised to gear up their efforts to channelise credit to those sectors that have potential for exploitation, the release stated.
Thrust areas identified by NABARD for added focus during the next financial year are horticulture, minor irrigation, land development, animal husbandry and fisheries sector, stated the release.
Be in the shoes of the poor
Principal Secretary, Rural Development Department, Toshi Aier IAS appealed to the bankers to think in terms of being in the shoes of the poor rural borrower while considering loan applications for sanction.
The release stated that Toshi Aier, while speaking as the chief guest at the State Credit seminar for 2007-08, underscored the importance of credit being crucial to the success of any developmental programme. He admitted that banking culture is still alien to the local people and appreciated the difficult role played by banks in the state, stated the release.
Notwithstanding the quarterly exercise of reviewing progress of schemes in the State Level Bankers’ Committee meeting, he queried as to what has been the actual achievement at the ground level. He underscored the importance of credit being crucial to the success of any developmental programme, stated the release.
In this respect, he reflected that a stocktaking exercise is required to be taken to assess whether the achievements are commensurate with the goals set out, the release added.
However, the release stated that the Principal Secretary of Rural Development was optimistic that the flow of credit would increase in volume in the coming years and appealed to the banks to focus more on direct lending to the agriculture and allied sector.
Focus on problems for smooth credit flow
The release further stated that Ms. T Ao, AGM, NABARD, in her inaugural address explained the relevance of the seminar and appealed to all banks, state government departments and developmental agencies to focus on issues and problems that can be addressed and ironed out to enable smooth flow of credit to various sectors of the rural economy during 2007-08.
Dr GD Banerjee, DGM, NABARD provided an overview of the credit planning exercise and NABARD’s role in directing the banks and development agencies in providing focused attention to potential sectors for further exploitation. A special presentation by Dili Solomon, MD of Naga Fragrance Limited highlighted the requirements and support expected from banks and development agencies from a borrower/promoter’s perspective. It evoked a lot of interest and was an eye opener for all the stakeholders present, the release stated.
The seminar was participated by senior level Sate Government officials of the Agri & Allied Sector Depts. and RD Dept., ICAR representative, senior bankers of Commercial Banks, Nagaland State Cooperative Bank, Nagaland Rural Bank, NEDFi and SIDBI, the release added.
