NABARD commences ground work for loan waiver scheme

Mumbai, Apr 9 (UNI) National Bank for Agriculture and Rural Development (NABARD) has commenced the spadework to implement the Rs 60,000 crore loan waiver scheme for farmers announced by Union Finance Minister P Chidambaram in the Budget 2008-09.

Talking to newsmen here ,NABARD Chairman and Managing Director U C Sarangi said steps were being initiated to ensure that the waiver scheme takes off before June end, the deadline announced by the UPA Government at the Centre.

Dr Sarangi declined to comment on the quantum of exposure NABARD would handle in the three-year scheme for which the Union Finance Minister had allocated Rs 25,000 crore for the current fiscal.

NABARD CMD said his institution was involved for the loans waiver of farmers involving the Cooperative Banks and Regional Rural Banks.

Replying to a question, he said NABARD would not have any portion in the waived amount as it did mostly refinancing.

Announcing the highlights of the NABARD performance for 2007-08, he said the Bank had recorded a 21 per cent growth in its business operations with its turnover touching Rs 98,500 crore as against Rs 81,220 crore last fiscal.

This was an all time high growth for NABARD which celebrated its silver jubilee last year. The previous year's growth was 17 per cent.

He said the gross operating surplus for the last fiscal was Rs 1,470 crore, up from Rs 1,169 crore in 2006-07. The net operating surplus was Rs 972 crore as against Rs 819 crore the previous year.

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