Govt directs financial institutions to improve lending, achieve 100 % target
By: Ibni Maqbool
Srinagar: In a matter of grave concern, the Jammu & Kashmir’s Union Territory Level Bankers Committee (UTLBC) has expressed dissatisfaction over poor lending by private banks to priority sector in J&K.
Documents available with The Precious Kashmir lay bare that UTLBC has expressed its concern over low lending by private sector banks to priority sector in Jammu & Kashmir during its meeting held on September 20 in Central Kashmir’s Ganderbal district.
The meeting was chaired by Union Minister of State for Finance, Dr. Bhagwat Krishnrao Karad.
According to the minutes of the meeting, the house expressed concern over performance of new generation private sector banks vis-à-vis lending to priority sector in J&K.
In the meeting, J&K’s Chief Secretary Arun Kumar directed the banks to improve lending under annual credit plan and ensure 100% achievement of targets by the end of financial Year. “All banks in general and private sector banks in particular to enhance lending to priority sector,” reads record note of the meeting.
It further reveals that the participants were further informed that banks in UT of J&K have credit of Rs 7296.58 crore in favour of 329370 beneficiaries against the target of Rs 44980.57 crore for 14,97,700 beneficiaries to priority as well as non-priority as well as non-priority sectors of economy under annual credit plan (ACP) 2021-22 during the first quarter of the current financial year, registering achievement of 16% in financial terms and 22% in physical terms.
The UTLBC is the apex level forum of bankers/financial institutions operating in J&K. These committees are formed in all the States/UTs in the country for inter-institutional coordination and joint implementation of programmes and policies by all the banks and financial institutions.
The J&K Bank is the convenor of UTLBC in J&K.