Dismal lending to agriculture sector : Modi

Patna, Aug 10 (UNI) Deputy Chief Minister of Bihar Sushil Kumar Modi today said lending to agriculture sector by the nationalised Banks was very poor in the state and far away from the target.

To a short notice question of RJD member Ram Bachan Rai, also holding Finance portfolio, in the Legislative Council, Mr Modi said the fact was brought to the notice of Union Finance Minister P Chidambaram when the latter was on a day's visit to the state on June 21.

He said Rs 11,341.22 crore was required for the agriculture sector during the current fiscal.

He informed that a loan of Rs 2697 crore was provided against the target of Rs 2174.03 crore during the finacial year 2005-06.

Mr Modi informed the House that a sum of Rs 7471.75 crore had been distributed among the beneficiaries against the target of 10,518.93 crore during the past five years.

The target for the current fiscal had been fixed at Rs 3722 crore, Mr Modi added.

To another question of Mr Rai, the Finance Minister said there were only one officer, clerk and cashier in more than 100 branches of different Banks in the state. These branches were devoid of technical personnel like field officers and agriculture officers, he added.

In accordance with the suggestion of Mr Chidambaram, Reserve Bank of India (RBI) had constituted a working group, headed by Executive Director of RBI, comprising regional managers of different Banks as its members to improve lending through Banks.

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