Urges banks to improve CD Ratio

The Banks Jammu & Kashmir have disbursed an amount of Rs 8,289.16 Cr upto 30th June, 2019 thereby achieving 24.90 pc of the target fixed under Annual Credit Plan 2019-20, out of which J&K Bank has contributed 69.27 pc of the total credit disbursed during the period.

R K Chhibber & MD stated this in the 110th JK State Level Bankers’ Committee (SLBC) meeting held here today.

J&K Government Chief Secretary B V R Subrahmanyam (IAS) presided over the meeting that was attended by Financial Commissioner (Revenue) Dr. PawanKotwal (IAS), Financial Commissioner (Finance) Dr. Arun Kumar Mehta (IAS), Chairman & MD J&K Bank  (Convener J&K SLBC) R K Chhibber, Principal Secretary Planning & Development RohitKansal (IAS), Principal Secretary Industries & Commerce Navin Kumar Chaudhary (IAS), Principal Secretary Animal Husbandry Dr. Asgar H. Samoon (IAS).  
Regional Director, Reserve Bank of India (RBI) Thomas Mathew, Chief General Manager, NABARD P. Balachandran, Deputy Secretary, DFS, MoF (GoI) A K Dogra, Secretary Rural Development &Panchayati Raj Sheetal Nanda  Deputy Commissioner SrinagarShahid Iqbal Choudharyand other senior functionaries of the Government, RBI, NABARD, banks, LDMs, line departments, insurance companies, BSNL were also present on the occasion.

In the meeting, the Chief Secretary, J&K Government B V R Subrahmanyam expressed concern on the low Credit Deposit Ratio especially in the districts of Jammu division, where the CD Ratio has remained below 40%. 

Commenting that banks are the lifeline of overall economy, the Chief Secretary impressed upon the banks to focus on improving the credit disbursement especially under the employment generation schemes that are meant to contribute in the development of the country.

Stressing upon the need to analyze issues at a micro level, the Chief Secretary directed the banks to gear up as they had a critical role to play in the implementation of various schemes sponsored by the government.

Speaking on the occasion, Financial Commissioner (Finance) Dr. Arun Kumar Mehta highlighted the importance of financial literacy camps and underlined the need to educate people and create awareness about social security schemes like PMSBY, PMJJY, APY besides PMJDY.

The house observed that banks operating in J&K have extended a total credit of Rs 8289.16 Cr in favour of 228251 beneficiaries registering an achievement of 24.90 pc in financial terms and 20.69 pc in physical terms during the quarter ended June, 2019 of the Current Financial Year against the Annual Credit Plan of Rs 33286.97 Cr for 1103152 beneficiaries. 

It was observed that Jammu and Kashmir Bank alone has disbursed Rs 5742.27 Cr during the period under review, which constitutes 69.27 pc of the total credit extended by the 43 banks and financial institutions.

Regarding performance under Government Sponsored Schemes (GSS), the house noted that an amount of Rs 44.88 Cr has been disbursed by banks in favour of 2034 beneficiaries under four major GSS i.e. NRLM, PMEGP, NULM and SC/ST/OBC Schemes. 

Pertinently, during the previous FY (2018-19) the banks had disbursed an amount of Rs 28314.70 Cr in favour of 824254 beneficiaries registering achievement of 89.33% of the ACP target in financial terms.

J&K Bank Chairman & MD R K Chhibber, expressed hope that the meeting would be quite fruitful for all the participants under the guidance of Chief Secretary and would result in the resolution of various issues faced by the banks.