National Cooperative Agriculture & Rural Development Banks Federation Ltd (Nafcard) organized a series of events at Jaipur, which included the Nafcard board meeting, Annual General Meeting and a workshop on Business Development Plans of Agriculture and Rural Development Banks (ARDBs).
A series of meetings were presided over by the Nafcard Chairman Dollarbhai Kotecha. The other participants included Delhi State Cooperative Bank Chairman Bijendra Singh, Nafscob Chairman K Ravinder Rao, UP Gram Vikas Bank Chairman Santraj Yadav, K.Sivadasan Nair and representatives from the state’s ARDBs. The AGM and Board Meetings were held on 10th September 2023 whereas Workshop was organized on 11th September 2023.
The Board approved the Business Development Plans of ARDBs for the next 5 years envisaging 20% yearly growth in lending.
On this occasion, Nafcard Managing Director K.K. Ravindran presented the Power Point presentation on business development plans of ARDBs.
In his presentation Ravindran focused on achieving the targets in the coming year. “The Long-Term lending including NFS to grow from Rs 3540 crore in 2022-23 to Rs 12319 crore in 2027-28. Besides, short term lending to grow from Rs 1889 crore in 2022-23 to Rs 5061 crore in 2027-28”.
“Annual gross lending to grow from Rs 5,437.76 crore in 2022-23 to Rs 17,380 crore in 2027-28. Annual lending during ‘Amrit Kaal’ to grow from Rs 17,380 crore in 2027-28 to Rs 2,94,080 crore in 2047-48”, he added.
Ravindran further said, “Aggregate deposits outstanding of ARDBs to grow from Rs 2340.54 crore in 2022-23 to Rs 4345 crore in 2027-28 and Rs 52720 crore in 2047-48. NPAs to come down from 40.83% in 2022-23 to 20.69% in 2027-28 and 3.2% in 2047-48 [Uttar Pradesh (81%) Tripura (98%) Punjab (58.85%) Rajasthan (53.48%) & Haryana (76.57%) are critical States.
During the workshop, he made various demands from the Government of India, which included extending crop loan interest subvention scheme to ARDBs, Banking licence to SCARDBs, TransUnion CIBIL Membership and others.
“NABARD to introduce a new additional refinance product for ARDBs without government guarantee. Besides, channelize SAO refinance to SCARDBs/PCARDBs through SCBs/DCCBs with earmarked allocations”, the demands include.
The Annual General Meeting apart from the usual business has also approved a proposal for amendment of
bye laws on the lines of Multi State Cooperative Societies (Amendment) Act 2023 notified by the Government on 3rd August 2023.
There are 16 State Cooperative Agriculture & Rural Development Banks (SCARDBs) of which only 13 are fully functional with a network of 1,744 PCARDBs/branches of SCARDBs at ground level. These banks have a total membership of 1,10,84,964 rural households of which 65,30,812 have outstanding loans.
The total loans outstanding and borrowings outstanding of these banks as on 31.03.2022 were Rs 21341.06 crores and Rs 13337.10 crores respectively. Fully functional SCARDBs have total deposits of Rs 2257.67 crores as on 31.3.2022.
