Banks in JK lend Rs 14,842 Cr, J&K Bank contributes 65%
Banks operating in Jammu Kashmir have provided a total credit of Rs14842.51 crore in favour of 3,92,273 beneficiaries against a target of Rs 35,771.56 Cr for 12,32,611 beneficiaries under priority as well as non-priority sector, registering an achievement of 41.49 percent and 31.82 percent in financial and physical terms under the Annual Action Plan (ACP) 2019-20.
The review covers period upto September 30, 2019.
Chairman and MD, J&K Bank (Convenor, UTLBC J&K) Rajesh Kumar Chibber briefed the house in the 1st Union Territory Level Bankers’ Committee (UTLBC) meeting of J&K held here today.
Chief Secretary B V R Subrahmanyam presided over the meeting attended by Financial Commissioner (Finance) Arun Kumar Mehta, Chairman and Managing Director J&K Bank (Convener UTLBC J&K) Rajesh Kumar Chibber, Principal Secretary Housing & Urban Development Dheeraj Gupta, Principal Secretary Animal Husbandry Asgar Samoon, Commissioner Secretary Industries and Commerce M K Dwivedi, Commissioner Secretary Social Welfare Hirdesh Kumar Singh, Commissioner Secretary Labour & Employment Saurabh Bhagat, Regional Director Reserve Bank of India Thomas Mathew, Deputy Secretary, DFS, MoF (GoI) A K Dogra, Chief General Manager NABARD P Balachandran, Divisional Commissioner Jammu Sanjeev Verma.
Other senior functionaries of the government, RBI, NABARD banks, LDMs, line department and insurance companies were also present.
Notably, J&K Bank leads the pack with 69.95 percent share of total outstanding advances of all banks as on quarter ended September 30, 2019.
The bank has disbursed Rs 4587.63 crore against the annual target of Rs 15156.63 crore in the priority sector.
Under the non-priority sector, the bank has registered an achievement of 101.74 percent by lending Rs 5115.45 crore during the same period as given in the ACP 2019-20.
Speaking on the occasion, the Chief Secretary urged the banks to improve flow of credit to the priority sector and focus on proliferation of financial inclusion in J&K.
He directed the line departments, banks and lead district managers to work in coordination with the district administrations to ensure 100 percent coverage of farmers under KCC besides including 4 lakh beneficiaries under KCC scheme for Animal Husbandry and Fisheries by March 31, 2020.
The Chief Secretary advised the banks to ensure disposal of all eligible pending cases under various government-sponsored schemes by February 2020 end.
He stressed upon the banks to increase flow of credit to Credit Linked Subsidy Scheme (CLSS) under Pradhan MantriAwas Yojana so that maximum people benefit from the interest subsidy available under the scheme.
He also stressed upon the need of direct lending in all sectors.
During the meeting, Financial Commissioner (Finance) Arun Kumar Mehta instructed banks to achieve saturation under the financial inclusion and Social Security Schemes including PMJDY, PMSBY, PMJJBY and APY by launching special campaigns in all the districts of J&K on the lines of the campaign undertaken in respect of Aspirational Districts of Baramulla and Kupwara.
Earlier in his address, Chairman and MD, J&K Bank (Convener UTLBC J&K) said preparations for the first-ever Global Investor Summit, a systemically important event for the economy of J&K, were in full swing and handsome investments from the public and private players were expected.
“The event will usher in a new era of growth, development and employment in J&K besides creating new opportunities for lending,” the CMD said.
Regarding the performance under the government-sponsored schemes, the house noted that an amount of Rs 104.43 crore had been disbursed by the banks during the period in favour of 5329 beneficiaries under four major schemes NRLM, PMEGP, NULM and SC, ST, OBC schemes.
On the occasion, the house also passed two resolutions relating to the recent rehabilitation package allowed by the Reserve Bank of India for the affected borrowers in J&K under ‘Master Directions for relief measures by banks in the areas affected by natural calamity’.
As per the resolutions, J&K UTLBC would again approach the Reserve Bank of India to consider inclusion of large borrowers also under the Rehabilitation Package.
The UTLBC would also request the Reserve Bank of India to revisit the criteria for eligibility under the rehabilitation package and consider the criteria as “borrowers whose accounts are standard as on August 5, 2019” instead of the “borrowers whose accounts are not overdue as on August 5, 2019”.
Chairman and MD J&K Bank (Convenor, UTLBC J&K) assured the house that banks would leave no stone unturned in accomplishing the aspirations of the government and the people at large.