The Cooperative movement in the North-East is perceived to be weak but the much talked about recent growth story of Nagaland State Cooperative Bank holds the promise of hope. The 50 years old bank has vowed to achieve a net profit of Rs 15 crore and expand the area of operation in rural areas till 2020, claimed the bank Vice Chairman Kekhwengulo Lea.
In a telephonic conversation with Indian Cooperative Correspondent from Nagaland, the bank Vice-Chairman informed, “In the FY year 2018-19 we are expecting that we will earn a profit of Rs 9.07 crore and aim to raise this amount to Rs 15 crore by 2020. Besides, we will expand our area of operation in rural areas to engage more n more farmers and render quality services to them”, he said.
“We will also develop PACS to strengthen the rural economy. With a view to strengthening SHGs, the bank will promote these groups mainly among women. We will give loans at reasonable rates of interest to these groups”, he underlined.
Lea further said, there is a two tier system in Nagaland and more than 3,500 Pacs are the members of the bank. The total number of PACS in Nagaland is over 7,000 and strengthening them is our main priority”.
“We are growing well but I am disappointed about NPAs. We find it a daunting task to trace borrowers who had long been associated with us. This weakens our efforts to reduce NPAs. Nevertheless, we have not given up and doing our best to keep our NPAs within limits”, he asserted.
However, the bank deposits rose from Rs 686.27 crore to Rs 784.46 crore in the financial year 2018-19 and registered a growth of 14.31 percent. Whereas loans and advances increased from Rs 425.28 crore to Rs 504.35 crore as on 31st March 2019 registered a growth of 18.59.
The bank’s total business stood at Rs 1,288.81 crore. NSCB was established on 4th November 1966 and is having over 21 branches in the state. The bank is equipped with latest technologies trying to meet the needs of its clients.
National Cooperative Union of India-the apex national body has launched several field projects to ignite the co-op movement in the region. IFFCO-the largest co-op in the country is also gearing up to make Sikkim the organic capital of the country by tying up with the state government.