6th June 2013
Srinagar
89th J&K SLBC meeting held : J&K Bank major contributor with 66% credit to Priority Sector
Banks operating in J&K State have extended credit aggregating Rs.4,918.14 Crore to 3,79,676 beneficiaries during FY 2012-13 against annual target of Rs.6,094.50 Crore to 3,54,302 beneficiaries under Priority Sector registering achievement of 81%. J&K Bank alone has disbursed Rs.3,225.67 Crore against annual target of Rs.3,123.22 Crore achieving 103% of its target under ACP, which accounts for 66% of the total priority sector credit disbursed by all banks in the State during the year.
This was revealed by Mr. Mushtaq Ahmad, Chairman & CEO, J&K Bank (Convenor J&K SLBC), while addressing the 89th meeting of J&K State Level Bankers' Committee (SLBC) today at Srinagar. The Hon'ble Finance Minister, J&K State, Jenab Abdul Rahim Rather, presided over the meeting.
While addressing the house, Ab Rahim Rather, Hon'ble Finance Minster, stressed upon the banks to avail off today's SLBC meeting for reviewing the progress and the implementation of agenda given by the Dr. Subbarao , Governor RBI during special SLBC meet held just one month ago. "Today's SLBC meeting assumes and adds significance, as it is being held soon after special SLBC which was jointly addressed by Governor RBI and Chief Minister J&K," he said. While showing his concern over the decrease in lending in priority sector, Agriculture sector and particularly government sponsored schemes, finance minister urged the banks to accelerate and expedite the process of lending for triggering the economic growth in the state.
While appreciating the performance of J&K Bank Rather said, "J&K Bank has shown better performance in general and overachieved the targets in priority sector in particular as compared to other commercial banks." He was hopeful that J&K Bank will be consistent and continue with this show in future also. He urged upon other banks to follow the directions of RBI and increase CD ratio in the state to reach national benchmark.
Earlier Chairman & CEO J&K Bank, Mr. Mushtaq Ahmed in his inaugural speech welcomed Hon'ble Finance Minster, Mr. Ab. Rahim Rather and other dignitaries, he briefed the house about performance of the banks during the previous financial year. Among others, the meeting was attended by the Principal Secretary (Finance) Mr. B. B. Vyas, Commissioner/Secretary, Industries & Commerce Mr.Shantmanu, Commissioner/ Secretary to Govt. Agriculture Production Department Dr. Asgar Hassan Samoon, Commissioner / Secretary to Govt. Information Technology Department Mr. Bipul Pathak, Regional Director (J&K State)., Reserve Bank of India, Mr. K. K. Saraf, other senior officers of banks, Reserve Bank of India, NABARD, State Government Departments & developmental agencies.
The Chairman & CEO, J&K Bank, Mr. Mushtaq Ahmad, while reviewing sector-wise performance of banks stated that under Agriculture Sector the banks have provided credit aggregating to Rs.1,758.63 Crore to 2,66,419 beneficiaries against a target of Rs.1,771.85 Crore favouring 2,10,675 beneficiaries, registering an achievement of 99% in financial terms and 126% in physical terms, during the period under review.
Under Micro & Small Enterprises Sector as against the annual target of Rs.2,147.61 Crore for 71,728 beneficiaries, banks have disbursed an amount of Rs.1,725.33 Crore in favour of 55,121 beneficiaries by the end of March 2013, thereby registering an achievement of 80% of the target in financial terms and 77% in physical terms.
Under Micro Credit Sector banks have disbursed credit aggregating to Rs.444.75 Crore in favour of 20,857 beneficiaries against the ACP target of Rs.777.46 Crore for 40,845 beneficiaries, registering an achievement of 57% in financial terms and 51% in physical terms. Under Education Sector as against the annual target of Rs.208.10 Crore in favour of 6,447 beneficiaries banks have disbursed total amount of Rs.78.65 Crore in favour of 4,556 beneficiaries by the end of March 2013. This works out to 38% achievement in financial terms and 71% in physical terms.
Under Housing Sector banks have disbursed total amount of Rs.910.78 Crore in favour of 32,723 beneficiaries by the end of March 2013 as against the annual target of Rs.1,189.47 Crore in favour of 24,607 beneficiaries. This works out to an achievement of 77% in financial terms and 133% in physical terms.
Commenting on the performance of banks under Government Sponsored Schemes in the State, the Chairman and CEO of J&K Bank stated that against the Annual ACP target of 411.75 Crore for 27,475 beneficiaries for all banks operating in the State, the achievement of banks at the end of March 2013 under five major Government Sponsored Schemes, viz. NRLM (SGSY), PMEGP, JKSES, SJSRY and SC/ST/OBC has been of the order of Rs.205.27 Crore spread over 12,757 beneficiaries in all the three regions of the State, thereby registering an achievement of 50% in financial and 46% physical terms. The achievement, he observed, is not satisfactory at all as compared to credit delivery to GSS during the previous year with disbursement of Rs.237.36 Crore to 15,584 beneficiaries (being 110% of the target in financial and 83% in physical terms.
Regarding Credit Deposit Ratio, the Chairman and CEO of J&K Bank commented that during the financial year 2012-13 the advances of Banking Sector increased from Rs.18,948.94 Crore as on 31.3.2012 to Rs.23,542.32 Crore as on 31.3.2013, indicating a YOY growth of over 24%, which is much above the credit growth achieved at the national level during the financial year. While commenting on the level of CD ratio, Abdual Rahim rather said, "Even as the C.D. Ratio has increased from 34.36% as on 31.3.2012 to 36.51% as on 31.3.2013 indicating an increase of 2.15%, there's huge scope available to banks to increase it to comfortable level. So special emphasis is needed from the side of banks to improve CD ratio." However, given the target of 40% for the State to be achieved by March 2014, as stipulated by the Hon'ble Governor, Reserve Bank of India, Dr.D.Subbarao, a credit disbursement target of Rs.16,322.69 Crore has been stipulated under Annual Credit Plan for CFY for the State (envisaging an increase of over 81% over the ACP for PFY). He expressed optimism that banks will redouble their efforts to achieve the desired target.
Giving progress in respect of providing banking services to the unbanked areas of the State he stated that under "Swabhimaan" campaign/ Financial Inclusion Programme 786 villages out of the allocated 795 villages (having population over 2000) have already been covered.
Commenting on the 2nd phase of Financial Inclusion Plan of J&K State, the Chairman stated that the plan for coverage of 5,582 identified villages having population below 2000 in J&K State, during 2012-13, 2013-14, 2014-15 and beyond 2015, has already been taken up for implementation and against the target of 1314 villages set for 2012-13, 1188 villages were covered upto the end of 31st March 2013 constituting 91% of the target for the year. During the month of April further 132 villages have been covered taking the total number of villages covered to 1320.
Explaining scope and potential in agriculture sector, Dr Asgar Samoon spoke about financial assistance for CAS store and food processing unit. Shantamanu, Commissioner/Secretary, Industries and Commerce emphasized for hassle free loans to weavers and artisans.
This was revealed by Mr. Mushtaq Ahmad, Chairman & CEO, J&K Bank (Convenor J&K SLBC), while addressing the 89th meeting of J&K State Level Bankers' Committee (SLBC) today at Srinagar. The Hon'ble Finance Minister, J&K State, Jenab Abdul Rahim Rather, presided over the meeting.
While addressing the house, Ab Rahim Rather, Hon'ble Finance Minster, stressed upon the banks to avail off today's SLBC meeting for reviewing the progress and the implementation of agenda given by the Dr. Subbarao , Governor RBI during special SLBC meet held just one month ago. "Today's SLBC meeting assumes and adds significance, as it is being held soon after special SLBC which was jointly addressed by Governor RBI and Chief Minister J&K," he said. While showing his concern over the decrease in lending in priority sector, Agriculture sector and particularly government sponsored schemes, finance minister urged the banks to accelerate and expedite the process of lending for triggering the economic growth in the state.
While appreciating the performance of J&K Bank Rather said, "J&K Bank has shown better performance in general and overachieved the targets in priority sector in particular as compared to other commercial banks." He was hopeful that J&K Bank will be consistent and continue with this show in future also. He urged upon other banks to follow the directions of RBI and increase CD ratio in the state to reach national benchmark.
Earlier Chairman & CEO J&K Bank, Mr. Mushtaq Ahmed in his inaugural speech welcomed Hon'ble Finance Minster, Mr. Ab. Rahim Rather and other dignitaries, he briefed the house about performance of the banks during the previous financial year. Among others, the meeting was attended by the Principal Secretary (Finance) Mr. B. B. Vyas, Commissioner/Secretary, Industries & Commerce Mr.Shantmanu, Commissioner/ Secretary to Govt. Agriculture Production Department Dr. Asgar Hassan Samoon, Commissioner / Secretary to Govt. Information Technology Department Mr. Bipul Pathak, Regional Director (J&K State)., Reserve Bank of India, Mr. K. K. Saraf, other senior officers of banks, Reserve Bank of India, NABARD, State Government Departments & developmental agencies.
The Chairman & CEO, J&K Bank, Mr. Mushtaq Ahmad, while reviewing sector-wise performance of banks stated that under Agriculture Sector the banks have provided credit aggregating to Rs.1,758.63 Crore to 2,66,419 beneficiaries against a target of Rs.1,771.85 Crore favouring 2,10,675 beneficiaries, registering an achievement of 99% in financial terms and 126% in physical terms, during the period under review.
Under Micro & Small Enterprises Sector as against the annual target of Rs.2,147.61 Crore for 71,728 beneficiaries, banks have disbursed an amount of Rs.1,725.33 Crore in favour of 55,121 beneficiaries by the end of March 2013, thereby registering an achievement of 80% of the target in financial terms and 77% in physical terms.
Under Micro Credit Sector banks have disbursed credit aggregating to Rs.444.75 Crore in favour of 20,857 beneficiaries against the ACP target of Rs.777.46 Crore for 40,845 beneficiaries, registering an achievement of 57% in financial terms and 51% in physical terms. Under Education Sector as against the annual target of Rs.208.10 Crore in favour of 6,447 beneficiaries banks have disbursed total amount of Rs.78.65 Crore in favour of 4,556 beneficiaries by the end of March 2013. This works out to 38% achievement in financial terms and 71% in physical terms.
Under Housing Sector banks have disbursed total amount of Rs.910.78 Crore in favour of 32,723 beneficiaries by the end of March 2013 as against the annual target of Rs.1,189.47 Crore in favour of 24,607 beneficiaries. This works out to an achievement of 77% in financial terms and 133% in physical terms.
Commenting on the performance of banks under Government Sponsored Schemes in the State, the Chairman and CEO of J&K Bank stated that against the Annual ACP target of 411.75 Crore for 27,475 beneficiaries for all banks operating in the State, the achievement of banks at the end of March 2013 under five major Government Sponsored Schemes, viz. NRLM (SGSY), PMEGP, JKSES, SJSRY and SC/ST/OBC has been of the order of Rs.205.27 Crore spread over 12,757 beneficiaries in all the three regions of the State, thereby registering an achievement of 50% in financial and 46% physical terms. The achievement, he observed, is not satisfactory at all as compared to credit delivery to GSS during the previous year with disbursement of Rs.237.36 Crore to 15,584 beneficiaries (being 110% of the target in financial and 83% in physical terms.
Regarding Credit Deposit Ratio, the Chairman and CEO of J&K Bank commented that during the financial year 2012-13 the advances of Banking Sector increased from Rs.18,948.94 Crore as on 31.3.2012 to Rs.23,542.32 Crore as on 31.3.2013, indicating a YOY growth of over 24%, which is much above the credit growth achieved at the national level during the financial year. While commenting on the level of CD ratio, Abdual Rahim rather said, "Even as the C.D. Ratio has increased from 34.36% as on 31.3.2012 to 36.51% as on 31.3.2013 indicating an increase of 2.15%, there's huge scope available to banks to increase it to comfortable level. So special emphasis is needed from the side of banks to improve CD ratio." However, given the target of 40% for the State to be achieved by March 2014, as stipulated by the Hon'ble Governor, Reserve Bank of India, Dr.D.Subbarao, a credit disbursement target of Rs.16,322.69 Crore has been stipulated under Annual Credit Plan for CFY for the State (envisaging an increase of over 81% over the ACP for PFY). He expressed optimism that banks will redouble their efforts to achieve the desired target.
Giving progress in respect of providing banking services to the unbanked areas of the State he stated that under "Swabhimaan" campaign/ Financial Inclusion Programme 786 villages out of the allocated 795 villages (having population over 2000) have already been covered.
Commenting on the 2nd phase of Financial Inclusion Plan of J&K State, the Chairman stated that the plan for coverage of 5,582 identified villages having population below 2000 in J&K State, during 2012-13, 2013-14, 2014-15 and beyond 2015, has already been taken up for implementation and against the target of 1314 villages set for 2012-13, 1188 villages were covered upto the end of 31st March 2013 constituting 91% of the target for the year. During the month of April further 132 villages have been covered taking the total number of villages covered to 1320.
Explaining scope and potential in agriculture sector, Dr Asgar Samoon spoke about financial assistance for CAS store and food processing unit. Shantamanu, Commissioner/Secretary, Industries and Commerce emphasized for hassle free loans to weavers and artisans.