Rs 48,176 Crores Credit Estimates For Telangana

The National Bank for Agriculture and Rural Development (NABARD) has unveiled a Rs 48,176-crore credit plan estimate for the year 2015-16 for Telangana.

The credit plan was unveiled in the State Credit Seminar held on Friday in the presence of Finance Minister Etela Rajender, Irrigation Minister T Harish Rao, Chief Secretary Dr Rajiv Sharma, the Principal Secretary and other officials from government departments and banks.

Addressing the seminar, the Finance Minister welcomed the estimates, and said that the new State needed proper funding for development.

He urged the banks to adopt an innovative approach for the comprehensive development of the agriculture sector in Telangana.

He said that besides providing loans, the banks should also guide the farmers on the proper utilisation of the money.

He said that steps should be taken to ensure that the farmers got proper returns for their crops.

Speaking on the occasion, Harish Rao said that irrigation and marketing facilities were as important for farmers as loans.

He informed that the State Government was planning to help the farmers by providing them interest-free loans under the Rythu Bandhu Scheme, and that godowns were also being upgraded.

NABARD Chief General Manager Jiji Mammen announced that the credit estimates made by NABARD for the newly-formed State were 19% higher than the State's current year credit plan.

He emphasised on focusing on investment credit leading to capital formation for sustainable agricultural growth, and also on the critical gaps in infrastructure and support services after factoring in the policy initiatives of the Central Government, the State Government, the RBI and the NABARD.

He also stressed upon the NABARD's overall focus on inclusive growth under the priority sector, and the mission for augmenting the food security.

While elaborating upon the estimates, the CGM said that the credit potential of Rs 48,176 crores under priority sector lending included crop loans (short term working capital) of Rs 25,780 crores, agricultural term loans of Rs 9,400 crores, loans to the Micro Small & Medium Enterprise (MSME) sector of Rs 5,554 crores, and loans to the Other Priority Sectors (OPS) of Rs 7,441 crores. (INN)