Palakkad set to become total banking district

Palakkad, Kerala, Sep 17 (UNI) Palakkad in Kerala will become a total banking district with every household having a bank account, by the end of this month, under a programme based on the Reserve Bank of India's annual policy statement for 2005-2006.

Canara Bank, the lead bank in the district, was picked by the State Level Banker's Committee (SLBC) for implementing the total banking programme on a pilot basis, six months ago.

Canara Bank Manager K M Sathyanath, who is also the convener of the District Review Committee, told UNI that Palakkad would be declared a total banking district by the District Collector on September 28.

He said more than five lakh families in the district will have bank accounts by then with many even getting ATM facilities.

Heading the district bankers' committee, Canara Bank has 40 of a total of 375 branches of scheduled banks in the district. Also, cooperative banks, Agriculture, Revenue and Panchayat Departments and 'Kudumbasree' units are working for the success of the programme.

Palakkad was chosen for achieving 100 per cent financial inclusion on account of it being the first IT-enabled district headquarters.

The total banking plan was executed by allocating areas to various bank branches in the district after conducting surveys in the allotted areas to ascertain financial requirements of the people, especially the target groups like SC/STs, minorities and women and campaigning among people to open 'no frills' accounts.

The RBI policy statement said the SLBC conveners in all states and Union Territories should identify at least one district each for total banking providing 'no frills' accounts and extending need- based loan facilities even through credit cards.

The District Review Committee(DRC) is monitoring progress of implementation of the programme in Palakkad. Apart from the lead bank, Punjab National Bank, State bank of Travancore, South Indian Bank, Catholic Syrian Bank, Federal Bank and the district heads of government departments are members of the DRC.

District Panchayat President Subaida Ishaq said all the 12 block panchayats in the district were working for complete implementation of total banking.

According to SLBC sources, after the pilot project at the district level, implementation of total banking will be taken up at the state level and if everything goes well, all the families in Kerala will have bank accounts by March 2008.

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