Kerala department of co-operation has brought up the idea that a consortium of co-operative banks would disburse pension to retired KSRTC employees, reports Times of India.
This would mean each primary co-operative bank under a local body institution would distribute pension depending upon its financial resources.
The loans being disbursed will be repaid by the state government at an interest of 10%. This negates any chances of risk in this collaboration.
The total pension arrears of KSRTC amount to Rs 224 crore.
