The National Cooperative Policy (NCP) proposes the formation of a dedicated task force to holistically examine the challenges faced by cooperative credit institutions such as District Central Cooperative Banks (DCCBs), Primary Agricultural Credit Societies (PACS), Agriculture and Rural Development Banks (ARDBs), and Land Development Banks.
The task force will be entrusted with identifying structural and operational issues, including constraints in long-term credit, and recommending actionable solutions. It will also outline a roadmap to enhance the deposit base of DCCBs and other cooperative credit institutions.
In addition, the policy emphasizes the need to promote the cooperative credit structure, including ARDBs, as a viable mechanism for disbursing long-term agricultural and rural credit. This approach aims to complement existing financial channels and address the growing demand for development-oriented lending in rural areas.
The NCP also encourages institutions such as the National Cooperative Development Corporation (NCDC), NABARD, and similar bodies to assist cooperatives by preparing model Detailed Project Reports (DPRs), conducting business feasibility studies, and creating bankable project proposals to facilitate easier access to credit and funding.
Further, the policy recommends expanding the scale and scope of activities undertaken by the NCDC. It proposes enabling the Corporation to access cheaper capital, thereby allowing it to offer concessional lending rates to cooperatives and support their growth across sectors.
