Speaking on the occasion of a two day conference organized by NAFSCOB the apex body of cooperative banks in the country, Deputy Managing Director of Nabard Mr H R Dave said the culture of entitlement must give way to professionalism if the cooperative banks have to survive in the fast changing scenario.
Cooperative banks spread across the nation must enlist as many farmers as possible by opening their savings account so that when the pilot project of DBT in fertilizer becomes a reality co-op banks are the first to cash in on the situation, Dave explained. Dave said govt seems determined to introduce DBT in fertilizer and a pilot project has been conceived in the budget this year.
Dave also referred to PACS Development Cell and was apparently not happy with its performance. This cell attached to DCCB has manpower strength of two persons and Nabard bears their salary expenses etc.
DCCB seems more interested in receiving grants than launching awareness campaign among members. You are there till members are there, spoke Dave before the assembled gathering in which several Chairmen and MDs of co-op banks participated.
Is our role limited to delivery of fund or success of the client (farmers in this case), asked Dave to the cooperators related to the credit and co-op banks. In the 3 tier structure unless the lowest tier which is PACS does not become strong, the other tiers cannot hope to be successful, Dave said.
Dave assured that Nabard is there to help co-op banks upgrade themselves technologically. Rs 1 crore for Core Banking Solution is already in the pipeline for each co-op bank and it should reach to you by 31st March. But what next? What about post-CBS initiative such as mobile banking or internet banking, Dave tried to break the lethargy commonly witnessed in co-op banks.
“He however supported higher subvention in case of co-op banks compared to commercial cousins. A committee has already recommended 3% rate for co-op banks compared to 2% for commercial banks. The matter has gone to the prime minister’s office”, Dave informed.