Jammu and Kashmir Bank doubled lending in the State in three years
Jammu, January 11, 2010:
“There is a lot of scope for improvement in lending in the State especially in the Agriculture Sector and the banks which do not improve their lending here can be asked to wind up their business in the state.“ This was stated by Finance Minister of the state, Mr Abdur Raheem Rather in his presidential speech at the 78th State Level Bankers Committee meeting held today. He urged the banks to explore ways of improving the credit dispensation for the economic development of the state. He also stressed upon strong coordination between the government departments and banks for speedy disposal of government sponsored schemes.
Dr. Haseeb A. Drabu in his detailed power point presentation highlighted the performance of the banking industry in the State during the first half of the current financial year. He highlighted the fact that improvement in CD ratio of the state is mainly due to increased lending done by J&K Bank in the state which has a CD ratio of 56.45 per cent in the state. All other banks are operating at CD ratio of 30% only. He said that the banks in the J&K state have disbursed Rs.1,148.46 Crores to the priority sector during the first half of the CFY (2009-10) as against the annual target of Rs.2,299.61 Crores. Out of that J&K Bank alone has disbursed Rs.774.48 Crores, which accounts for an achievement of 86% of the annual target.
It was revealed in the meeting that In agriculture sector an amount of Rs.254.62 Crore have been disbursed to 26,953 beneficiaries against the annual target of Rs 542 Crore for 1,11,102 beneficiaries thereby achieving 47% in financial and 24% in physical target.
In Small Enterprises sector an amount of Rs.234.17 Crore have been disbursed to 7,330 beneficiaries against the annual target of Rs.759.30 Crore for 18,426 beneficiaries thereby achieving 31% in financial and 40% in physical target.
In Retail Trade sector an amount of Rs.210.63 Crore have been disbursed to 10,418 beneficiaries against the annual target of Rs.467.07 Crore for 26,136 beneficiaries thereby achieving 45% in financial and 40% in physical target.
In Micro Credit sector an amount of Rs.96.17 Crore have been disbursed to 6,652 beneficiaries against the annual target of Rs.350.73 Crore for 20,635 beneficiaries thereby achieving 27% in financial and 32% in physical target.
In Housing sector an amount of Rs.321.65 Crore have been disbursed to 15,438 beneficiaries against the annual target of Rs.112.35 Crore for 3,607 beneficiaries thereby achieving 286% in financial and 428% in physical target.
In Education sector an amount of Rs.31.20 Crore have been disbursed to 1798 beneficiaries against the annual target of Rs.68.12 Crore for 2,948 beneficiaries thereby achieving 46% in financial and 61% in physical target.
J&K Bank has been the major contributor to the achievements under priority sector. Out of the total disbursement of Rs.1148.46 Crore against an annual target of Rs.2296.61 Crore for all participating banks the J&K Bank alone has disbursed Rs.774.81 Crore against the target of Rs.902.39 Crore thereby achieving 86% of its financial target, which constitutes 67% of the total disbursement by all banks in the State.
(This is a press release from J&K Bank)
