Shri N Ramesh, General Manager, NABARD informed him that targets under ACP has been prepared based on the potential of the State assessed by NABARD.
Shri A K Pandey, General Manager, RBI opined that there is huge scope for financing through KCCs and SHGs and it is more important for the banks to fulfill the targets whatever have been assigned to them for each sector / segment. Shri Pandey also informed the house that RBI had given Financial Inclusion material to Govt. of Tripura for onward transmission to Panchayats.
Shri N C Sinha, Principal Secretary, Rural Development Dept., Govt. of Tripura observed that the beneficiaries under NREGA and NOAP are facing problems in opening accounts with the banks and getting payment under the above schemes. All beneficiaries always do not get payment in a single day. The BCs of United Bank of India carries cash to a maximum extent of Rs 50000.00 which is not at all sufficient to meet the requirement. The banks are also to see that the social pensions are paid by 5th / 7th every month through BC model. Shri D Narang, Executive Director, United Bank of India assured to look into the matter for increasing the amount of cash carrying limit to the extent of actual requirement.
While discussing the progress of branch opening in the State, Shri S K Panda, Chief Secretary requested the bankers to revisit Tirthamukh and Paschim Hmunpui centers which have not been found suitable for branch opening by the survey committee. Shri A K Pandey , GM, RBI stated that Allahabad Bank, PNB, Indian Bank , UCO Bank (2), P & S Bank, UBI (2) & SBI (2) will open branches within Sept 2012. He also stated that in view of a bridge coming up on the nearby river which would reduce the distance of Paschim Ghilatali center from the nearest bank branch of UCO Bank to 1.5 km only, the bank would prefer to serve the area through BC Model. He also stated that OBC has expressed its unwillingness to open a branch at Behalabari on the plea of unsuitability of the area as found by them during a visit. Later, it was found that a wrong place was visited by them and decision was taken on the basis of wrong visit report. The representative of OBC present in the house, however, assured that a branch will be opened there within September 2012. Shri Janardan Bose, LDM, Tripura (W) informed the house that the identified premise is adjacent to the barrack of Assam Rifles and there is no security threat whatsoever. Indian Bank has to renovate the premise at their own cost and open the branch within September 2012, the house observed.
Thereafter, with the permission of the Chair, Shri R K Mohanty, General Manager, UBI initiated Agenda wise discussion through Power Point Presentation. The summary of discussion is as under:
Agenda 1: The house confirmed the proceedings of the 100th SLBC meeting held on 16.12. 2012.
Agenda 2: Compliance of Action points on major decisions of previous SLBC meetings:
- CD Ratio to be improved to 40% by March 2012: The CD ratio of the State is static at 33% at the end of March 2012. The issue has been covered in the inaugural address of Executive Director, UBI, Chief Secretary and Additional Chief Secretary, Govt. of Tripura .Shri A K Pandey, GM, RBI, Agartala informed the house that according to a study made by NABARD, barring State Bank of India no other bank is allowing limit in KCCs as per scale of finance. The average limit allowed by TGB is Rs 10000.00 only compared to Rs 35000.00 allowed by State Bank of India. The revolving nature of credit is also not being allowed by all banks. The bankers should ensure that scale of finance is followed which should include the component of consumption and maintenance need as pointed out by Shri Narang. The focus will continue to be on KCC under new scheme for growth of Agriculture and pisciculture both.
- 100% achievement of the target under ACP 2011-12: 98% of the target under ACP 2011-12 has been achieved by the banks. The house noted the progress.
- Spreading awareness on financial inclusion: During the year 2011-12 the banks have organized Awareness camps in all the 40 blocks of the State. NABARD has been requested to prepare simple pamphlets on KCC / Financial inclusion for awareness of the common people/ farmers.
- Opening of 26 branches: Out of 24 villages finalized, branches have been opened in 13 centers. In the remaining centers branches will be opened within September, 2012. The issue has been discussed in the earlier pages; hence not repeated. In view of a bridge coming up on the nearby river, UCO Bank proposed to open an Ultra Small Branch at Paschim Ghilatali instead of a Brick & Mortar branch originally proposed. Shri K V Satyanarayan, Additional Chief Secretary, GoT opined that an alternative center may be allotted to UCO Bank.
- Opening of branches under RBI subvention scheme: TGB has opened branches in all the 5 identified centers. The house noted the progress.
- Issuance of KCCs to all eligible farmers: Shri K V Satyanarayan opined that although some improvement has taken place, there are still enough scope to increase credit flow through KCCs to both Agriculture and Pisciculture. The scale of finance for KCC is also to be revised taking into account the consumption and maintenance need. Shri Manas Dhar, General Manager, United Bank of India informed the house that the issue will be automatically taken care of with the implementation of new guidelines on KCC where all these aspects have been considered. The other issues pointed out are:
- Term loans are not routed through KCCs.
- Charging of processing fees by Coop Banks. The representative of TSCB pointed out that they do not charge any processing fee; the amount which they deduct is the share capital which is refundable on ceasation of membership.
- A copy of the new scheme of KCC is to be submitted to the State Govt.
- Allotment of land by State Govt. to TGB & Synd Bank / Canara Bank : The State Govt. representatives were requested to expedite the issue. Shri N C Sinha , Principal Secretary, RD Dept observed that land may be allotted to TGB in newly created Sepahijala district. The Chairman, TGB, however, insisted to continue with their RSETI at West Tripura district since they were the 1st bank to open RSETI in the district on allotment of the district to them by the SLBC. The representative of Syndicate Bank also insisted for allotment of land in Tripura (W) district since they have been invited to the State to set up a RUDSETI. However, although two RSETIs can function in one district, Govt. grant for land and building would be admissible to one bank to which the district has been allotted by the SLBC.
- Fisheries Dept. to arrange special meeting with RBI and bankers: The meeting was arranged at RBI where it was decided that all the proposals sponsored up to March 2012 would be disposed of by June / July 2012. Other issues like issuance of KCC etc have been covered earlier.
- Monitoring of flow of credit: RBI Agartala Office is closely monitoring the achievement of all banks in respect of ACP, KCC etc. Last review meeting held at RBI on 15th June, 2012. Quarterly monitoring of performance under Govt. sponsored schemes is being done by the SLBC. The house noted the progress.
- Gradation of SHGs: The Chief Secretary observed that the credit flow to SHGs has to be increased following regular gradations. The additional Chief Secretary observed that credit needs are not met to the fullest extent. The subsidy is to credit ratio is 1:1 only. Shri Narang opined that there should not be under financing. Shri N Ramesh, General Manager, NABARD informed that average credit per SHG in the State is above Rs 1.00 lac which is much higher than many States. However, the position can be improved upon further. NABARD has made a study on SHG financing findings of which has not yet been circulated.
- Loans to Forest Land Patta Holders: All banks have issued circular in this respect. Effects will be visible next year. Shri Satyanarayan reiterated the need for providing KCC to Patta holders. He also talked on drift irrigation facilities, green house farming, shed net farming where Govt. will provide 50% subsidy. The commercial banks should explore the opportunities.
Agenda 3. Performance of the banks in Key Areas: The house noted the progress.
Agenda 4: Strategies for improvement of CD ratio in Tripura State: The house noted the suggestions presented. Shri Satyanarayan opined that cultivation of Ginger, Capsicum and Floriculture has lot of potential in Tripura. Green House, Poly hose cultivation can also be promoted in the State. Other issues discussed earlier are not repeated.
Agenda 5: Performance of banks in Priority Sector Advances including major Sub sectors: The house noted the progress.
Agenda 6: Achievement under ACP 2011-12: The house noted the progress which is 98% of the Annual target.
Agenda 7: Performance of banks under Govt. sponsored Schemes:
Under programme year 2011-12 the banks have performed well under SGSY scheme as 1492 cases have already been disbursed against annual target of 1320. Performance under SJSRY scheme during the year could have been better, Shri Satyanarayan opined. He also opined that the banks could have exceeded the target under Swabalamban and PMEGP as sponsoring was at a much higher side. He assured the bankers that availability of subsidy would not be a problem. The bankers assured that disposal of proposals under Swabalamban would continue as it is an ongoing scheme. The average loan size under PMEGP is around Rs 4.00 lac only as against the maximum limit of Rs 25.00 lac, the Industry Dept. observed. Shri Balachandran, DGM & CRM, UBI informed that the limit is sanctioned based on the project and its credit need. Large Industries whatever coming to the State is not approaching local banks for finance as their mortgagable property is located outside the State. Shri Narang advised the CRM to refer such proposals to him for quick disposal.
Archives
