Lok Sabha Question No. 5036 (UNSTARRED), answered on 2017-03-31
Subject: Bank Loan
Ministry: FINANCE
Asked by: NATUBHAI GOMANBHAI PATEL

## Government of India Department of Financial Services Ministry of Finance

## LOK SABHA UNSTARRED QUESTION NO. 5036

## TO BE ANSWERED ON THE 31 st  March 2017, Chaitra 10, 1938-39 (SAKA)

Bank Loan

## QUESTION

## 5036. SHRI NATUBHAI GOMANBHAI PATEL

Will the Minister of FINANCE be pleased to state:

- (a) the number of beneficiaries belonging to the tribal and backward   community who have granted loans for small industries and education loans by the banks from the year 2014 to July 2016;
- (b) whether the Government has formulated any scheme to ensure that people of such categories are able to avail of maximum loans;
- (c) if so, the details of such schemes and if not, the reasons therefor; and
- (d) the corrective steps taken/being taken by the Government in this regard?

## ANSWER (MINISTER OF STATE IN THE MINISTRY OF FINANCE) (SHRI SANTOSH KUMAR GANGWAR)

(a): Out of total outstanding loans under Priority sector (to MSEs and Education Loan) by Scheduled Commercial  Banks,  outstanding  loans  to Schedule  Castes(SCs)  &  Schedule  Tribes(STs)  as  on March 31, 2014, 2015 and 2016 are

(No. of A/cs in Lakh& Amt in Crore)*

| year   | MSE                                      | MSE                                      | Education Loans                          | Education Loans                          |
|--------|------------------------------------------|------------------------------------------|------------------------------------------|------------------------------------------|
|        | Out of outstanding loans, loans to SC/ST | Out of outstanding loans, loans to SC/ST | Out of outstanding loans, loans to SC/ST | Out of outstanding loans, loans to SC/ST |
|        | A/cs                                     | Balance O/s                              | A/cs                                     | Balance O/s                              |
| 2014   | 15.45                                    | 24122.33                                 | 2.55                                     | 2824.38                                  |
| 2015   | 14.99                                    | 22022.92                                 | 1.73                                     | 3430.40                                  |
| 2016   | 22.64                                    | 25718.86                                 | 2.11                                     | 5247.54                                  |

*Source:RBI

Further, details of number of ST beneficiaries to whom loan under Industries sector and Education Loan  provided  by  National  Scheduled  Tribes  Finance  and  Development  Corporation  (NSTFDC) under Ministry of Tribal Affairs is as follows:

| Financial Year             |   No. of Beneficiaries |   Under Education |
|----------------------------|------------------------|-------------------|
| 2014-15                    |                    100 |                18 |
| 2015-16                    |                  17653 |                23 |
| 2016-17 ( till 31.07.2016) |                      0 |                10 |

- (b)  to  (d):  In  order  to  ensure  availability  of  loans  to  people  belonging  to  tribal  and  backward community, various measures have been taken which are as under:
- i. National Scheduled Tribes Finance and Development Corporation (NSTFDC), is an apex Organization set up exclusively for economic development of Scheduled Tribes. NSTFDC implements schemes for self-employment of Scheduled Tribes by providing concessional

loan to individuals or groups of STs through its State Channelizing agencies, certain Public Sector/ Co-operative Banks, Regional Rural Banks and National Cooperative Development Finance Corporation Ltd. (NCDC).

- ii. IBA's Model education loan scheme aims at providing financial support from the banking system to meritorious students for pursuing higher education in India and abroad. The scheme provides broad guidelines to the banks for operationalizing the educational loan scheme. The main objective is that meritorious students, though poor including students from tribal and backward community, are provided with an opportunity to pursue higher education  with  financial  support  from  the  banking  system  with  affordable  terms  and conditions.
- iii. Ministry  of  Social  Justice  and  Empowerment  (MoSJ&E)  has  launched  'DR  Ambedkar Central Sector Scheme of Interest Subsidy on Educational Loan for Overseas Studies for Other Backward Classes (OBCs)'.  The objective of the scheme is to award interest subsidy to meritorious students belonging to other weaker sections of the society so as to provide those better opportunities for higher education abroad and enhance their employability.
- iv. Ministry of HRD, Government of India had formulated a Central Scheme to provide interest subsidy  on  Educational  loans  taken  by  students  from  Economically  Weaker  Sections (EWS) for pursuing technical / professional courses in India. The Scheme was effective from the academic year 2009-10, w.e.f. 1st April 2009 and is applicable to students from EWS with a parental upper income limit of Rs.4.50 lakhs per annum and for studies in recognized technical and professional courses in India after class XII.
- v. RBI has  issued standing instructions to banks in the form  of  Master  Circular  - Credit facilities to Scheduled Castes (SCs) & Scheduled Tribes (STs) dated 01.07.2016, to give special emphasis to the welfare    of the scheduled castes and scheduled tribes and take measures to step up their  advances to SCs /STs.
- vi. With a view to 'Fund the Unfunded' segment of society and to bring them under formal credit  system  through  Banks,  NBFCs,  Pradhan  Mantri  Mudra  Yojana  (PMMY)  was launched on 08 April 2015. Under PMMY 1678346 No. of ST beneficiaries were covered till 31.03.2016 for which Rs 4742 Crore were disbursed.

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