NEDFI achieves record performance

Guwahati, May 30: The North East Development Finance Corporation (NEDFI) has achieved record all round performance figures during the financial year ended March 31, 2006.

The financial results showed that the Corporation has surpassed all its previous year's achievements.

According to NEDFI sources, during the last financial year, sanctions reached an all time high of Rs. 131 crores for 284 projects resulting in an increase of 47 per cent over the figures of Rs. 89 crores in previous year.

Cumulative sanctions stood at Rs. 609 crore as on March 31, 2006 compared to Rs. 477 crore as on March 31, 2005.

Disbursement figures doubled to Rs. 104 crores during the period as compared to Rs. 52 crores during the previous financial year.

Cumulative disbursements have touched an all time high of Rs. 397 crores as on March 31, 2006 compared to Rs. 293 crores as on March 31, 2005.

While the sanctions and disbursements during financial year 2006 have recorded all time highs, NEDFi has made an impressive growth of 133 per cent in its net profit, which stood at Rs. 14 crores after making provisions for tax.

Even more impressive has been the Corporation's ability to bring down it's Net NPA levels to single digit figures of 9 per cent down from 13 per cent of the previous financial year.

Moreover, during financial year 2006, the Corporation has been able to extend financial assistance to projects spread all over the eight North Eastern states. NEDFi has done commendable work in Micro Finance under which it extends financial assistance to the uncovered poor.

Cumulative sanctions under Micro Finance have touched Rs. 15 crores as on March 31, 2006 servicing 2887 SHGs and credit linking 31,366 beneficiaries of whom more than 50 per cent have been women and around 43 per cent belonging to the weaker sections of society.

Although the current recovery rate is 72 per cent, the overall recovery rate is 57 per cent due to accumulated past dues. The overall recovery is worrisome but serious efforts are being made to increase the overall recovery percentage to 70 per cent during the financial year 2006-2007. While it's commercial activities have reached new heights, NEDFi's developmental role has been noteworthy. Under its Techno Economic Development Fund (TEDF), NEDFi has so far commissioned 54 techno-economic feasibility studies on industry and infrastructure best suited to the region.

A recent study taken up titled ''Resource Mapping of Bodo Territorial Council (BTC) areas-Preparation of Development/Investment Plan for BTC area'' is for preparing a development and investment strategy.

NEDFi's R&D Center for Medicinal&Aromatic Plants located at Khetri, Kamrup has done pioneering work in Patchouli, Vanilla, Geranium, Vetiver, Stevia and has now taken up Jatropha research during the year under review.

NEDFi Haat, a well-known marketing initiative of NEDFi, has organized a record number of 31 fairs during financial year 2006 with around 870 participants most of whom were rural artisans, SHGs, women entrepreneurs, who otherwise do not have access to formal marketing channels.

Besides the Corporation has been facilitating the participation of local artisans in Trade Fairs like India International Trade Fair, NEXPO, Indian Handicraft&Gift Fair etc.

NEDFi during FY-2006 launched ''Design&Skill Upgradation Scheme'' under which comprehensive training programs are held in the handloom&handicraft sector and other vocational trades.

NEDFi has so far conducted 21 programs training a total of 792 trainees from all the eight states and has set aside an annual budget of Rs. 50 lakh per annum for this scheme.

Recognizing the potential of the handloom and handicraft sector of the region, NEDFi is partnering with Export Promotion Council of Handicrafts (EPCH) to take up an Integrated Export oriented Marketing Project.

NEDFi recognizes that the SME sector plays a crucial role in capital formation and creating jobs.

Food processing industries are another thrust area. NEDFi has also identified plastic industries as a potential sector for the region and is in discussions with Reliance Petrochemicals and Haldia Petrochemicals Ltd. for joint partnership in taking its plans forward, the source said.

UNI