Lok Sabha Question No. 4185 (UNSTARRED), answered on 2021-03-22
Subject: Farm Loans by Cooperative Banks
Ministry: FINANCE
Asked by: S.R. Parthiban

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

## LOK SABHA Unstarred Question No. 4185 Answered on Monday, March 22,2021/ Chaitra 1, 1943 (Saka) Farm Loans by Cooperative Banks

## 4185 . SHRI PARTHIBAN S.R

## Question

Will the Minister of FINANCE be pleased to state:

- (a) whether the percentage of loans disbursed by cooperative banks in the agriculture sector has increased over the last few years;
- (b) if the details thereof including targets set and achievements made against the targets, State-wise including the State of Tamil Nadu; SO,
- c) whether the Government has identified any constraint faced by cooperative banks in disbursing such loans; and being
- (d) if so, the details thereof including the action taken by the Government in this regard?

## Answer

## THE MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI ANURAG SINGH THAKUR)

- (a) (6): Details of the loans disbursed by Cooperative Banks the last 3 years are as under: during

(Rs. in crore)

State-wise agricultural credit target and achievement in respect of Cooperative Banks for last three years is provided in the Annexure

| Year    | Agri Credit Disbursement Cooperative Banks by   | Disbursement   |   Total Agriculture Credit [Percentage Share in total Agri .Credit |
|---------|-------------------------------------------------|----------------|--------------------------------------------------------------------|
|         | 1,50,321.14                                     | 11,62,616.98   |                                                              12.93 |
| 2018-19 | 1,52,340.20                                     | 12,56,829.62   |                                                              12.12 |
| 2019-20 | 1,57,367.41                                     | 13,92,729.39   |                                                              11.3  |

- (c) & (d) NABARD has inter alia, identified the following constraints faced by Cooperative Banks in disbursement of loans:
- Financial health of Rural Cooperative Banks (RCBs):
- (ii) Slow pace of 'technology adoption.
- (iii) Corporate governance standards.

Earlier; provisions of the Banking Regulation Act, 1949 relating to the governance and sound regulation and supervision of banks that were applicable to banking companies were not applicable to co-operative banks. Keeping in view developments in the banking sector and the regulation thereof over time, amendments have been made through the Banking Regulation (Amendment) 2020 for extending such provisions to co-operative banks as well: While providing for better management with proper regulations, the Act aims to ensure that the affairs of the cooperative banks are conducted in a manner that protects the interest of depositors by increasing professionalism, enabling access to capital, improving governance and ensuring sound banking through the Reserve Bank of India. many Act,

## Annexure-[

| SNo:        | State/UT                   |   2017-18 Target |   Disb: Amt: |   Target | 2018-19 Disb. Amt:   |    Target | 2019-20 Disb. Amt:   |
|-------------|----------------------------|------------------|--------------|----------|----------------------|-----------|----------------------|
|             | DELHI                      |               12 |         4.98 |       10 | 3.80                 |     10.5  | 2.41                 |
|             | HARYANA                    |             8350 |     10074.8  |     8509 | 10490.89             |  10696    | 11284.96             |
| 3           | HIMACHAL PRADESH           |             1450 |      9208.85 |     1352 | 1650.91              |   3929.39 | 1793.94              |
|             | JAMMU & KASHMIR            |              250 |        14.14 |      258 | 25.88                |    563.08 | 21.56                |
|             | PUNJAB                     |            17200 |      9484.92 |    17418 | 9551,50              |  18577.3  | 10768.70             |
|             | RAJASTHAN                  |            18500 |     14725.8  |    19319 | 12905.93             |  22518.3  | 9803.17              |
|             | CHANDIGARH UT              |                0 |         0    |        0 | 0.00                 |      0    | 0.00                 |
|             | Northern Region Total      |            45762 |     43513.5  |    46866 | 34628.91             |  56294.7  | 33674.74             |
| 8           | ARUNACHAL PRADESH          |              106 |        20.65 |      126 | 4.79                 |    171    | 5.44                 |
|             | ASSAM                      |              120 |        18.95 |      144 | 21.12                |    182.4  | 28.45                |
| 10          | MANIPUR                    |               22 |        18.78 |       26 | 40.74                |     57    | 43.19                |
| 11          | MEGHALA YA                 |               65 |        34.39 |       78 | 21,.28               |     91.2  | 31.62                |
| 12          | MIZORAM                    |               35 |        12.94 |       42 | 14.55                |     45.6  | 15.32                |
| 13          | NAGALAND                   |               62 |        87.88 |       74 | 40.32                |    147.9  | 128.48               |
| 14          | SIKKIM                     |               28 |         3.58 |       34 |                      |     45.6  | 6.56                 |
| 15          | TRIPURA                    |              270 |       273.48 |      314 | 236.63               |    399    | 221.74               |
|             | North Eastern Region Total |              708 |       470.66 |      838 | 384.18               |   1139.7  | 480.80               |
| 16          | A & N ISLAND               |               60 |        27.6  |       70 | 13.32                |    104.79 | 7.98                 |
| 17          | BIHAR                      |              950 |      2548    |      988 | 2799.86              |   3493.13 | 3204.51              |
| 18          | JHARKHAND                  |              200 |         3.23 |      226 | 6.72                 |    465.75 | 5.56                 |
| 19          | ODISHA                     |             9700 |     11124.8  |    10297 | 12971.61             |  12952.7  | 13274.14             |
| 20          | WEST BENGAL                |             5750 |      3991.57 |     5954 | 4480.74              |   6271.52 | 5069.82              |
|             | Eastern Region Total       |            16660 |     17695.2  |    17535 | 20272.24             |  23287.9  | 21562.01             |
| 21          | CHHATTISGARH               |             2500 |      4397    |     2506 | 3700.79              |   4694.7  | 4431.64              |
| 22          | MADHYA PRADESH             |            13330 |     12787.5  |    14058 | 12488.23             |  16250.4  | 11561.31             |
| 23          | UTTARAKHAND                |             1100 |      1260.44 |     1006 | 1289.25              |   1444.71 | 1576.67              |
| 24          | UTTAR PRADESH              |            11500 |      3932.82 |    13070 | 5314.92              |  13721.7  | 6201,35              |
|             | Central Region Total       |            28430 |     22377.8  |    30640 | 22793.19             |  36111.6  | 23770.97             |
| 25          | GOA                        |              135 |        34.23 |      151 | 33.02                |    236    | 38.23                |
| 26          | GUJARAT                    |            14700 |     13759.7  |    14306 | 13664.67             |  18643.4  | 14688.83             |
| 27          | MAHARASHTRA                |            17150 |     11885.4  |    17507 | 12927.99             |  20432.1  |                      |
| 28          | D & NHAVELI UT             |                6 |         0    |        7 | 0.00                 |     10    | 0.00                 |
| 29          | DAMAN & DIU UT             |                7 |         0    |        8 | 0.00                 |     12    | 0.00                 |
|             | Western Region Total       |            31998 |     25679.3  |    31979 | 26625.68             |  39333.5  | 26000.00             |
| 30          | ANDHRA PRADESH             |             9000 |     11085.6  |    10026 | 11571.66             |  12046.3  | 11858.23             |
| 31          | TELANGANA                  |             5000 |      5657.51 |     6674 | 5608.30              |   7830.3  | 5748.55              |
| 32          | KARNATAKA                  |             8125 |     11619.1  |     8496 | 11350.52             |  12523.9  | 13842.26             |
| 33          | KERALA                     |             3550 |      4772    |     5041 | 4520.37              |   6023.04 | 4239.60              |
| 34          | PUDUCHERRY                 |               17 |         2.17 |       18 | 7.95                 |     32    | 8,94                 |
| 35          | TAMILNADU                  |             6750 |      7448.38 |     6887 | 14577.20 0.00        |   7876.7  |                      |
| 36          | LAKSHADWEEP UT             |                0 |         0    |        0 |                      |      0    | 0.00                 |
|             | Southern Region Total      |            32442 |     40584.8  |    37142 | 47635.99             |  46332.2  | 51878.88             |
| GRAND TOTAL | GRAND TOTAL                |           156000 |    150321    |   165000 | 152340.20            | 202500    | 157367.41            |

(Rs. in crore