CM Naveen Patnaik praises banks for exceeding credit target in Odisha

BHUBANESWAR: Chief Minister Naveen Patnaik on Friday appreciated the banks and district administrations for making coordinated efforts to extend credit to priority sectors including MSMEs and farmers for revival of economy amidst the Covid-19 pandemic.

Reviewing the performance of credit linkage with bankers, collectors and top officers of the State government, the Chief Minister said there has been a considerable progress in credit disbursement to priority sectors during the last two months. From the last meeting in December 2020, about Rs 1,600 crore more has gone to Mission Shakti groups which is about Rs 500 crore more than the annual target, he added.

The annual credit target for SHGs was Rs 3,240 crore but by January, they have already received over Rs 3,745 crore. However, the Chief Minister emphasised on the need to increase the average size of loan to SHGs from the present Rs 1.49 lakh to at least Rs 2 lakh.

Crop loan to farmers has also improved during the period. It was informed in the meeting that the crop loan target was Rs 20,000 crore which has touched Rs 20,606 crore by now. The MSME sector has also received credit over Rs 26,000 crore which has crossed the target of Rs 20,457 crore for March, 2021. Expecting further improvement in credit provisions, the Chief Minister said there is one month to go in this financial year. He asked all the districts and banks to strive hard to achieve their annual credit targets. 

He said as promised last time, he will inform the Union Finance Minister about the good performance of some of the banks. “We will also award the well-performing banks for the cause of farmers, small entrepreneurs and SHGs at the end of the financial year,” he said. He advised the district administrations and bankers to work closely in sync with the aspirations of the government for the best interest of the people of the State.

Fund flow
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Rs 3,240 cr for self-help groups 
Rs 20,000 cr for farmers
Rs 20,457 cr for MSMEs