A news outlet from Goa reports Nabard has called for bolstering of the state co-operative bank’s share capital needs. The co-operative received Rs 2.66 crore share capital from the government recently but it needs another Rs 20 crore more to comply with minimum capital norms, Nabard underscores.
GSCB is currently implementing the development action plan supervised by NABARD. Its main problem is non-performing assets caused by defaulting mining loans, says B B Sethi, general manager, NABARD. The bank has had an exemplary performance in extending loans to agriculture and in regular banking activities. However, its financial position is not good and needs to be improved, says Sethi on the sidelines of a media briefing.
GSCB, the apex bank for all cooperatives in Goa is looking to shed its nine branches in Daman and Diu to become a state cooperative bank. Phaldesai says as per a Supreme Court verdict any apex state cooperative bank cannot operate as a multi-state bank. Therefore the process is on to hive off the outside branches. GSCB currently has 58 branches.
