The Hindu Business Line : Karnataka: Banks' priority sector advances at Rs 21,162 cr

Mr Michael Bastian, Chairman and Managing Director of Syndicate Bank and Chairman of the State-Level Bankers' Committee, and Mr Vijay Gore, Additional Chief Secretary, Development Commissioner, Government of Karnataka, with representatives of the various banks at the 88th meeting of State-Level Bankers' Committee at Bangalore on Thursday. — G.R.N. Somashekar

Bangalore , Jan. 8

BANKS have invested at least Rs 8,500 crore directly with the Karnataka Government as part of their social and statutory obligations.

Speaking at the State-level bankers' committee meeting here today, Mr Michael Bastian, Chairman and Managing Director of Syndicate Bank, said all the banks in the State have a gross deposit base of about Rs 67,650 crore for the April-September period of the current fiscal.

Syndicate bank is the lead bank for Karnataka. In addition, the banks have provided advances of Rs 44,359 for the first six months of the current year, implying a credit deposit ratio of 66 per cent.

Mr Bastian said the advances to the priority sector in the State was Rs 21,162 crore up to September 2003 on cumulative basis, or about 47 per cent of the total advances. This was in excess of the 40 per cent priority sector target prescribed by the Reserve Bank of India.

Advances to the agricultural sector amounted to Rs 8,923 crore for the period. Besides, he added, that the banks had provided Kisan credit cards to 1.85 lakh farmers with credit limits of Rs 1,147 crore during the period. All the beneficiaries were simultaneously covered under the personal Accident Insurance Scheme.

He said under the drought relief measures, Kharif 2003, a total of 1,12,037 crore/Kisan Credit Card accounts involving an amount of Rs 229 crore and term loans amounting to Rs 94 crore have been restructured. This was done after granting fresh 20,217 Kisan credit accounts with a credit limit of Rs 95.52 crore after rescheduling.

Representatives of the National Bank for Agriculture and Rural Development, officials of the State Government and representatives from the financial institutions and regional rural banks attended the meeting.

More Stories on : Credit Market | Karnataka

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page