Banks double disbursement in agriculture sector in Kerala

Thiruvananthapuram, June 27 (UNI) Banks in Kerala have doubled disbursements to the agricultural sector in two years with the figure touching Rs 9,152 crore during 2005-06, according to Mr Alok K Misra, Executive Director of Canara Bank.

Presiding over a meeting of the State Level Bankers' Committee (SLBC) here today, he said a total of Rs 23,303 crore had been disbursed to priority sector in the State during the period as against a target of Rs 19,271 crore.

The Credit-Deposit(CD) ratio of the banking sector in the State has reached a 15-year high of 66.84 per cent, Mr Misra said and added that during the current year (2006-07) Rs 9,645 crore would be disbursed as loans to the agricultural sector.

The SLBC appealed to the government to make the farm-insurance scheme more farmer-friendly by reducing the insurance unit size from the current level of district to at least panchayat level. It also suggested for waiving the stamp duty for agriculture loans.

The SLBC decided to implement the pilot programme for 100 per cent financial inclusion in Palakkad district. Also a study for finding out the indebtedness of farmers will be carried out throughout the state by the SLBC.

UNI PMM DK1826