Rs. 1,432-crore credit plan for Krishnagiri

Krishnagiri Collector V.K. Shanmugam (third left) releases the Annual Credit Plan for Krishnagiri at a District Consultative Meeting.

A Rs. 1,432-crore Annual Credit Plan was released for Krishnagiri district for 2010-11 by V.K. Shanmugam recently. The first copy was received by M. Vijayakumar, Manager, Reserve Bank of India.

The plan envisages Rs. 1,299-crore bank loan under the priority sector, which is 19.76 per cent higher than the last year's.Releasing the Credit Plan at the district consultative meeting here, Mr. Shanmugam directed officials of the Mahalir Thittam and Non-governmental Organisations to identify credit rated groups before the end of April 2010.

Such credit rated groups would be segregated by the district administration in all the blocks and they would be linked to the banks.

He asked bankers to accord priority in extending loans for drip and sprinkler irrigation systems, precision farming, cut flower cultivation and other allied sectors of agriculture.

Of the total credit outlay, agriculture sector gets the lion's share of Rs. 786.06-crore including a crop loan of Rs. 457.53-crore, 29.80 per cent higher than last year. Rs. 328.53-crore has been projected for agricultural term credit.

Of this, Rs. 29.78-crore has been allocated for minor irrigation and land development, Rs. Rs. 80.18-crore for horticulture and Rs. 5 2.45-crore for allied activities of horticulture.

For other Non Farm Sector, the envisaged credit outlay was Rs. 167.90 crore and for other priority sector such as retail trade, small business, transport, housing loans, education loan have been allocated Rs. 360-crore which includes Rs. 56.32 crore has been allocated for education loans. Rs. 401.41-crore has been projected for government-sponsored schemes.

Cooperative banks

Of the total credit outlay, Rs. 1187.86-crore would be extended from commercial banks, which constitute 91.44 per cent of the outlay, and the remaining Rs. 111.23-crore loan from Cooperative banks and other lending institutions. G. Muthappan, Deputy General Manager and Dharmapuri Circle Head, Indian Bank said 158 villages with over 2000 population were identified in Krishnagiri district to bring them under the financial inclusion, which would pave way strengthen the rural banking services.

V. Thirumalai, Assistant General Manager, NABARD; B. Vadivel, Manager, Lead District Bank; and M.R. Rajendran, Chairman, District Panchayat; spoke on the occasion.