Lok Sabha Question No. 3897 (UNSTARRED), answered on 2025-08-12
Subject: Dirghavadhi Krishak Punji Sahakar Yojana
Ministry: COOPERATION
Asked by: Shri Anil Baluni

## GOVERNMENT OF INDIA MINISTRY OF COOPERATION

## LOK SABHA UNSTARRED QUESTION NO. 3897 ANSWERED ON 12 th  AUGUST, 2025

## DIRGHAVADHI KRISHAK PUNJI SAHAKAR YOJANA

## 3897.  Shri Anil Baluni :

Will the Minister of COOPERATION ( सहकारिता मंत्री ) be pleased to state:

- (a) the manner in which NCDC addresses the risk of potential loan default by agricultural credit cooperative societies under the 'Dirghavadhi Krishak Punji Sahakar Yojana';
- (b) the details of the contingency schemes available for mitigating such risks; and
- (c) the details of the funds provided under the said scheme during the last three years?

## ANSWER

## THE MINISTER OF COOPERATION सहकारिता मंत्री (SHRI AMIT SHAH)

(a) & (b): National Cooperative Development Corporation (NCDC), a statutory organization under the Ministry of Cooperation, Government of India, implements 'Dirghavadhi Krishak Punji  Sahakar  Yojana'  for  extending  long  term  financial  assistance  to  Agricultural  Credit Cooperatives towards their onward lending of long-term loans/advances for activities/commodities/services under the purview of NCDC.

NCDC has its own robust funding guidelines for sanctioning of financial assistance to eligible borrowers under the scheme for viable projects against the cushion of adequate security as prescribed. A robust system of project appraisal and monitoring is in place as stipulated in the Direct Funding Guidelines wherein the financial viability and technical feasibility of the project is assiduously adjudged.

Each proposal is subjected to a comprehensive evaluation based on following parameters:

- a. technical feasibility & financial viability of project through various methods like IRR, NPV, DSCR, Interest coverage ratio, FACR, projected cash-flows etc.,
- b. financial soundness of the cooperative,
- c. past financial & operational performance of the cooperative,
- d. professional expertise of the management/ employees of the cooperative,
- e. experience of the management of the cooperative in handling similar projects,
- f. past loan repayment performance of the cooperative,
- g. capacity of the cooperative to raise its share of project cost,
- h. availability of adequate security for the loans sought from NCDC

This  enables  a  rigorous  assessment  of  the  project's  techno-economic  viability  and  the credibility of the borrower cooperative, ensuring prudent funding in alignment with NCDC's mandate for the integrated development of the cooperative sector.

Further,  NCDC  through  its  Head  Office,  19  Regional  Offices  and  9  sub  offices  actively monitors the projects  periodically  (or  as  required)  and  ensures  judicious  funds'  utilization. Field visits/inspections are done on quarterly basis for proper monitoring of loan disbursement for the intended objectives. The beneficiary cooperatives are also required to submit periodical progress report which ensures that the funds are being used for purpose for which they were intended.

NCDC has dedicated department for recovery purpose. Process adopted for recovery are well documented.  Notices as per repayment schedule are sent well in advance followed with timely reminders. In case of default, suitable action is initiated under SARFAESI Act and if required, cases are filed in DRT.

(c): The details of the loans disbursed by NCDC during the last 3 years under Dirghavadhi Krishak Punji Sahakar Yojana are as under: -

Rs.( in crore)

| Financial Year   |   Sanctioned |   Released |
|------------------|--------------|------------|
| 2022-23          |          400 |          0 |
| 2023-24          |            0 |         60 |
| 2024-25          |         5000 |       2077 |
| Grand Total      |         5400 |       2137 |