Banks not reaching target in crop loans: Prashanth Reddy

Nizamabad: Roads and Buildings Minister Vemula Prashanth Reddy on Friday expressed ire with bankers for their performance in disbursing crop loans and extending other facilities to farmers and the down-trodden in the district.

The Minister, speaking at the District Level Review Committee (DLRC) meeting here instructed the bankers to increase sanction of loans to farmers and other underprivileged sections and fulfil their needs.

District Collector M Rammohan Rao, MLCs VG Goud and Aakula Lalitha attended the meeting.

The Minister reviewed various government schemes like crop loans and SHGs. He also reviewed distribution of loans and expressed unhappiness over several banks not reaching the target in crop loans, SHGs and down-trodden communities.

The Minister said, “Country will develop and banks will earn profits only if we strengthen farmers.” He said that a few banks were not focusing on crop and other types of loans. Banks were nationalised to provide good service to the people, but they were neglecting the down-trodden section.

He said that during rabi season, the banks had distributed only 23 per cent of crop loans. Bankers should consider it as a social responsibility, he added.

The Minister appreciate IOB bank manager for distributing 92 per cent of crop loans. He told the bankers that they must achieve the targets in distribution of crop loans, else face action.

Reddy said that bankers should allocate loans to BC, SC, ST and SHGs and not harass the beneficiaries to deposit loan amount in their banks while providing loans.

DLRC committee chairman and district Collector MRM Rao said that bankers were negligent in sanctioning loans to the beneficiaries. He asked the bankers to take action to ground the loans.

ZP chairman D Vittal Rao appealed to the government to take farmer as a unit in crop insurance scheme instead of village as a unit.

Lead bank manager Jaya Santoshi, among other bank managers and officials participated.

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