South Canara District Central Cooperative Bank Ltd (SCDCC) has urged the Karnataka Government to extend loans to self-help groups (SHGs) at an interest rate of 2 per cent.
Addressing presspersons here on Tuesday, M.N. Rajendra Kumar, President of SCDCC Bank, said that the election manifesto of Congress party had promised of extending loans to SHGs at 2 per cent interest rate.
This facility should be extended to the SHGs promoted by cooperative societies, district central cooperative banks and the voluntary organisations sponsored by district central cooperative banks, he said.
Added to this, any financial assistance extended by the Government should be directly credited into the accounts of SHG members. Such a move would help create awareness among the SHG members about various schemes of the Government, he said.
Seeking timely payment of money from the Government to the cooperatives, under the schemes such as loan waiver and interest subsidy, Rajendra Kumar said any delay in payment would have an adverse impact on the financial health of cooperative societies and cooperative banks.
vinayak.aj@thehindu.co.in