Nearly a score of primary agricultural cooperative credit societies are likely to be converted into urban credit cooperative bodies in six districts in Tamil Nadu.
This is a consequence of rapid urbanization happening in the state. The countryside is fast changing into towns and cities with the PACS not being able to give crop loans, said Cooperation Minister Sellur K. Raju in the state assembly.
The transformation of the PACS into urban cooperative credit societies would help people avail themselves of various loans, noted the minister. There are 53 urban cooperative credit societies altogether in the state disbursing Rs. 787.47 crore as loans to about 1.68 lakh members.
According to the cooperation minister, the cooperative institutions have distributed interest free crop loans of Rs. 12,066 crore among lakhs of farmers over the last three years.
