CHANDIGARH: Here’s news to cheer Punjab farmers who can now take loans from cooperative banks without turning to arhtiyas who lend money at exorbitant interest rates. NABARD has decided to double the total credit potential of Punjab’s cooperative and agriculture development banks for the present financial year from Rs 1,100 to 2,300 crore.
A decision to this effect was taken recently by NABARD after a series of meetings with Punjab cooperation minister Kanwaljit Singh in Mumbai.
Singh took note of farmers’ plight who sought loans only to return disappointed from co-operative banks due to lack of cash and hence had to depend on arhtiyas. However, with the new policy, farmer would be benefited with lesser bank interest rates to be paid, said Singh. The government also increased the target to disperse the loan through agriculture development bank this year from Rs 235 to 600 crore. Short-term loans dispersed through co-operative societies, is expected to be between Rs 1,600 and 1,700 crore as compared to last year’s Rs 800 to 900 crore following the decision.
Singh said NABARD assured to increase the loan credit up to Rs 2,500 crore next year.
Source: The Times of India News Service