Inaugurating the national conclave organized by NAFCUB in Vigyan Bhawan, Delhi on Thursday, Union Minister Amit Shah said that the time period of 25 years-between Amrut Kal to Shatabadi should be utilized by all including the co-op banking sector to be on the top of the global list. That is a wish of our Prime Minister, added Shah.
Felicitating co-op banks that are more than 100 years old, Shah said their continuation is proof of the fact that the co-op model is not irrelevant, as some people would have us believe. If a system works for more than 100 years, it means it has some worth in it, he stated.
Elaborating on the road map for the next 100 years, which was the theme of the conclave, Shah said the sector has so far seen only asymmetric growth and there is a need for symmetric growth. Expounding further he said there should be a co-op bank for each sub-sector. He wanted big UCBs to take lead in this without sacrificing what they are already doing.
Lauding the role being played by the co-op banking sector he said he had personal experience of three top
industrialists of today who started off taking loans of Rs 5 lac from co-op banks. Without disclosing their names Shah said that it’s only a co-op model which allows people to take small loans and flourish. Today these men are contributing to the GDP of the country, he stated.
We will achieve a 5 trillion-dollar economy no doubt but will the wealth creation touch the lives of everyone including the have-nots? He said a cooperative model is the only way to have inclusive and equitable growth.
Empowering people is the job of society and society means both govt and cooperative (Sarkar and Sahakar). When we look at the figures of achievement of UCBs it looks impressive but what is its share at the national banking operations, asked Shah. Co-op banks have only 3.25 % of the banking pie and only 2.69% of total advances. Since 40% of India is urbanized, UCB needs to have a commensurate share in the same, asserted Shah.
Listing the work done by the new Ministry Shah said the co-op sector needs to work on professionalism, trustworthiness, and technology. Let us be self-regulatory so that RBI or govt does not find a chance to find fault with us, he exhorted the participants. He also exhorted the old guards to make way for newer generations and said only a free flow of talent could help us face the challenges of modern times.
Earlier, in his introductory address, NAFCUB President Jyotindra Mehta said co-op banks have a huge legacy as even the Nobel Prize money of Rs 1 lac received by Rabindra Nath Tagore was donated to a credit co-op. He said we need to plan for the next 100 years now and fulfil the dream of the Prime Minister “Sahakar se samadhi”. Umbrella Organization is going to play a big role in this, he added.
The event was well attended as several representatives of the co-op banking sector. Prominent guests included Union Minister of State for Cooperation B L Verma, Ministry of Cooperation Secretary Gyanesh Kumar, Central Registrar, NCUI Chairman Dileepbhai Sanghani, RBI Board member Satish Marathe, among others.
Out of 198 entities, about 10 banks including Saraswat Bank and Cosmos Bank were felicitated by the Union Minister Amit Shah. The remaining UCBs that have served the Indian economy for over a century were felicitated by the Union Minister of State for Finance Bhagwat Karad.
NAFCUB Vice President V Anasakar proposed a vote of thanks.
