AP Chief Minister YS Jagan Mohan Reddy urged the bankers to extend their support in implementing government welfare schemes and help in strengthening the rural economy. Speaking at the 213th State Level Bankers Committee (SLBC) meeting held here on Friday, the Chief Minister said it’s gratifying that 7.5 percent growth is registered in the last quarter in issuing loans and 99 percent of crop loans were given.
He asked the bankers to focus on doubling farmers’ income, reducing investment costs, providing proper market facilities for the crops, and to support farmers at the time of natural disasters. The Chief Minister said the government has started various initiatives to reduce the investment cost to farmers. The Government has been providing financial assistance of Rs 13,500 per annum through Rythu Bharosa Scheme.
50% of farmers have less than half a hectare of land in the state and 80 percent of investment cost to those farmers would be covered through this scheme. He said Rs 7,500 is credited to the bank accounts of the beneficiaries before Kharif in May, Rs 4000 in October and Rs 2,000 is given to the farmers for Sankranti in January. He said the state government paid all arrears of previous government pertaining to Interest free loans and encouraging farmers to take interest free loans. He said no burden is laid on farmers regarding premium of Crop insurance as the government is paying it.
The Government has setup 10,641 Rytu Bharosa Kendras to assist farmers from sowing of seeds to selling crops and quality seeds, fertilizers and pesticides are made available through these centers. All these initiatives are helping farmers to become self reliant, he said. The Chief Minister urged the bankers to come forward in providing loans to tenant farmers as they have been given Crop Cultivated Right Cards (CCRC).
The Chief Minister said the bankers should support MSMEs as they play key role in financial sector. The banks should assist in restructuring of loans for MSMEs. The Government has paid Rs1,100 crore subsidy amount pending to industries from 2014 and also fixed electricity charges during COVID were waived.
The Chief Minister said the state government brought in Cheyutha, Asara schemes to empower women belonging to SC, ST, BC and minorities. He said an assistance of Rs 75,000 over a period of four years will be provided to the women beneficiary in four equal installments of Rs. 18750 each per year. The first year assistance has been given and the remaining three years assistance will also be provided. The Chief Minister said the Government has signed MoUs with the reputed companies like Amul, Allana, ITC, Procter & Gamble, HUL, and Reliance to collaborate and empower women beneficiaries of Cheyutha and Asara. He said committees were setup at village and ward level to support them.
The State government has prepared schedule for the distribution of cows, buffaloes, sheep and goats which already started. The Chief Minister asked the bankers to prepare an action plan as per that schedule to provide assistance to women. He directed the officials to liaise with the bankers to ensure that the distribution takes place as per the schedule.
The Chief Minister said the Self Help Groups have deposited Rs 7,500 crore in their accounts for 2020–21. However, the interest paid by banks is only Rs 3 per cent, but the same banks have been charging an interest of around 11 percent and 13 percent. He asked the bankers to consider the fact that the government itself has been paying interest on timely paid loans. Bankers were told to inspire and motivate women through their programmes.
The Chief Minister said the state government has been implementing Jagananna Thodu scheme through which Rs 10,000 was provided as interest free loan to street vendors. The street vendors identified through Village/ Ward Secretariats are provided with ID cards and their work profiles are recorded. The government will pay the interest of the loans taken by the vendors from banks; he said and urged the bankers to come forward to support the street vendors. The Chief Minister said the state Government has been working to complete the construction of TIDCO houses at earliest and asked the bankers for their support.
Meanwhile, speaking at the conference, G Rajkiran Rai, SLBC President and MD of Union Bank of India hailed the State government initiatives and said the activities of banks and the financial assistance provided have reached the timely targets. He said the banks have given Rs 2,80,519 crore as loans in Primary sector as on September this year and it’s 64.60 percent of total loans. Loans to the agricultural sector stood at Rs 1,85,075 crore and this is 42.61 percent of the total loans, he said.
Ministers Botsa Satyanarayana, Kurasala Kannababu and Mekapati Goutham Reddy, Chief Secretary Nilam Sawhney, NABARD CGM Sudhir Kumar Jannawar , SLBC Convener V Bramhananda Reddy and RBI Regional Director K Nikhila were present at the meeting. UBI GM Lal Singh, UBI MD, CEO Raj Kiran Rai joined through video conference.