Co-op banks compete with commercial cousins

Tamil Nadu govt seems intent on dovetailing cooperative and other sectors in the state in a bid to achieve great economic results. It is towards this end that among other things the state govt is planning to bring cooperative banks on a par with commercial and private banks during 2014-15.

Official sources are quoted claiming, the govt would make the cooperative system an important source of credit and loans. The target for disbursement of crop loans for 2013-14 had been set at Rs 4,500 crore, but the actual disbursement achieved was at Rs 4,716 sources add.

A bit of number crunching further on the sector may not be out of order. The target for the current year has been set at Rs 5,000 crore. Urban Co-operative Banks, which had disbursed loans of Rs 6,221.31 crore in 2013-14, have now been given a target of Rs 8,382 crore.

Loans to Self-Help Groups, counting Rs 488.5 crore in 2013-14, are now being targeted to touch Rs 615 crore. Even the target for micro credit (loans of up to Rs 10,000) has been raised to Rs 170 crore from the Rs 151.71 crore given out in 2013-14.