Lok Sabha Question No. 1112 (UNSTARRED), answered on 2015-12-04
Subject: Banking Facilities
Ministry: FINANCE
Asked by: BHANU PRATAP SINGH VERMA, ASHOK MAHADEORAO NETE, BIDYUT BARAN MAHATO, PRITAM GOPINATH MUNDE, KALIKESH NARAYAN SINGH DEO, NEELAM SONKER, RAJESHBHAI NARANBHAI CHUDASAMA, NISHIKANT  DUBEY, KAUSHALENDRA KUMAR, J.C. DIVAKAR REDDY

## GOVERNMENT  OF  INDIA MINISTRY OF FINANCE DEPARTMENT OF FINANCIAL SERVICES

## UNSTARRED QUESTION  No.  1112

## LOK  SABHA

TO BE ANSWERED ON  4 th DECEMBER,  2015  (FRIDAY)/AGRAHAYANA 13, 1937 (SAKA)

## Banking  Facilities

## Question

1112.  SHRI    BHANU  PRATAP  SINGH  VERMA,  SHRI  ASHOK  MAHADEORAO NETE, SHRI BIDYUT BARAN MAHTO, DR. PRITAM GOPINATH MUNDE, SHRI KALIKESH N. SINGH DEO, SHRIMATI NEELAM SONKER, SHRI RAJESHBHAI CHUDASAMA,  SHRI  NISHIKANT  DUBEY,  SHRI  KAUSHALENDRA  KUMAR,

SHRI J.C. DIVAKAR REDDY:

Will the Minister of FINANCE be  pleased to state:

- (a) whether banking facilities  are  not adequate  especially  in  rural/hilly/remote areas    of    the    country,    if    so,  the  details    thereof    along  with    the
- (b) the  number  of    branches  of    Public    Sector    Banks  (PSBs)    presently functional  in  the  rural  and urban areas in  the country, bank and State-wise;
- norms/criteria  prescribed  for  opening of  new  bank  branches in the country;
- (c) the  number  of bank  accounts opened/amount deposited  in  the  said  banks particularly  in  tribal  areas and  the number of  loans  sanctioned  by  the banks  during  the last three  years and current year,  bank and  State-wise;
- (e)the  steps    taken  /  being  taken  by    the    Government    to    ensure    banking facilities  to each  household in the country?
- (d)whether banks have  fixed  any  target for  sanctioning  of loans  particularly in  tribal  and  hilly  areas and  if  so,  the  details thereof,  bank  and  Statewise; and

## Answer

## The  Minister of State in the Ministry of Finance (SHRI  JAYANT  SINHA)

(a) to (b)  As per Reserve Bank of India (RBI), the number of branches of Scheduled Commercial Banks in the country as on 30 th June,  2015  is  1,26,640,  out  of  which 48,872 (38.59%) branches are in rural areas. To promote  the  objective of  financial inclusion  and    to  extend    the    banking    network    in  unbanked    areas,  general permission  has    been    granted    by    Reserve    Bank  of    India  (RBI)    to  domestic Scheduled    Commercial    Banks    (other    than    Regional  Rural    Banks)  to    open branches  (i) in  Tier  2  to    Tier  6  centres  (with  population  upto  99,999)    and  (ii)  in rural,  semi-urban  and  urban  centres  of  the  North-Eastern  States    and    Sikkim subject  to  reporting.   RBI  has  advised  banks  that  while  preparing  their  Annual Branch  Expansion  Plan (ABEP),  the  banks  should  allocate  at  least  25 percent of  the  total  number  of  branches  proposed  to be  opened  during  a  year  in unbanked rural (Tier 5 and Tier 6) centres.

With the objective of ensuring greater financial inclusion and increasing the outreach of the banking sector, scheduled commercial banks including Regional Rural Banks (RRBs) and Local Area Banks (LABs) have been permitted to use the services of intermediaries  in  providing  financial  and  banking  services  through  the  use  of Business Facilitator/Business Correspondents Model.

The number of  branches  of  Public  Sector  Banks  presently  functional  in the rural and  urban  areas in the  country, State-wise and Bank-group-wise  are  given  in Annexure 1 .

(c) to (e)  In terms of RBI's guidelines on lending to priority sector, a target of 40 per cent of Adjusted Net Bank Credit (ANBC) or Credit Equivalent amount of Off-Balance Sheet Exposures (OBE), whichever is higher, as on March 31 of the previous year, has  been  mandated  for  lending  to  the  priority  sector  by  domestic  scheduled commercial banks and foreign banks with 20 and above branches.  Within this , a sub-target of 10 oer cent of ANBC or Credit Equivalent amount of OBE, whichever is higher,  as  on  March  31  of  the  previous  year,  has  been  mandated  for  lending  to weaker sections which includes, among others, persons from Scheduled Castes and Scheduled Tribes.

Pradhan    Mantri  Jan-Dhan  Yojana,  envisages    universal    access    to    banking facilities  with  at least  one  basic  banking  account  for  every  household.  So far 19.34 crore  accounts  have  been  opened  under  this  Yojana  and   deposits  of Rs.26956 crore have been mobilized. In 152 tribal districts as identified by Ministry of Tribal Affairs (MoTA), 2.18 crore accounts have been opened under this Yojna as on 28.10.2015  (1.48  crore  in  rural  areas  and  0.70  crore  in  urban  areas)  with  total deposit of Rs.2275.45 crore.  ( Annexure 2).

*****

Annexure 1 Number of functioning branches of Scheduled Commercial Banks as on June 30, 2015 - State/ Union Territories and Population Group wise

STATE/ UNION

RURAL

SEMI-

URBAN

METROPOLITAN

ALL

| TERRITORIES          |        | URBAN   |        |        | Population Group   |
|----------------------|--------|---------|--------|--------|--------------------|
| ANDAMAN & NICOBAR IS | 30     | 30      |        |        | 60                 |
| ANDHRA PRADESH       | 2,246  | 1,845   | 1,634  | 409    | 6,134              |
| ARUNACHAL PRADESH    | 72     | 66      |        |        | 138                |
| ASSAM                | 1,004  | 595     | 460    |        | 2,059              |
| BIHAR                | 3,357  | 1,600   | 721    | 419    | 6,097              |
| CHANDIGARH           | 15     |         | 346    |        | 361                |
| CHHATTISGARH         | 1,035  | 587     | 583    |        | 2,205              |
| DADRA & NAGAR HAVELI | 18     | 35      |        |        | 53                 |
| DAMAN & DIU          | 4      | 43      |        |        | 47                 |
| GOA                  | 273    | 371     |        |        | 644                |
| GUJARAT              | 2,511  | 1,769   | 892    | 1,835  | 7,007              |
| HARYANA              | 1,623  | 1,030   | 1,443  | 229    | 4,325              |
| HIMACHAL PRADESH     | 1,092  | 272     | 76     |        | 1,440              |
| JAMMU & KASHMIR      | 903    | 345     | 370    |        | 1,618              |
| JHARKHAND            | 1,326  | 683     | 536    | 145    | 2,690              |
| KARNATAKA            | 3,356  | 2,065   | 1,782  | 1,914  | 9,117              |
| KERALA               | 455    | 4,118   | 1,408  |        | 5,981              |
| LAKSHADWEEP          | 8      | 5       |        |        | 13                 |
| MADHYA PRADESH       | 2,279  | 1,717   | 1,068  | 760    | 5,824              |
| MAHARASHTRA          | 3,141  | 2,493   | 1,650  | 4,038  | 11,322             |
| MANIPUR              | 57     | 46      | 36     |        | 139                |
| MEGHALAYA            | 151    | 60      | 78     |        | 289                |
| MIZORAM              | 70     | 32      | 49     |        | 151                |
| NAGALAND             | 48     | 98      |        |        | 146                |
| NCT OF DELHI         | 106    | 65      | 1      | 3,082  | 3,254              |
| ODISHA               | 2,367  | 1,102   | 856    |        | 4,325              |
| PUDUCHERRY           | 52     | 60      | 108    |        | 220                |
| PUNJAB               | 2,420  | 1,780   | 967    | 672    | 5,839              |
| RAJASTHAN            | 2,639  | 1,871   | 1,163  | 577    | 6,250              |
| SIKKIM               | 85     | 38      |        |        | 123                |
| TAMIL NADU           | 2,860  | 3,236   | 2,036  | 1,373  | 9,505              |
| TELANGANA            | 1,574  | 991     | 468    | 1,556  | 4,589              |
| TRIPURA              | 191    | 109     | 77     |        | 377                |
| UTTAR PRADESH        | 7,563  | 3,171   | 2,571  | 2,058  | 15,363             |
| UTTARAKHAND          | 912    | 558     | 380    |        | 1,850              |
| WEST BENGAL          | 3,029  | 1,111   | 1,398  | 1,547  | 7,085              |
| ALL INDIA            | 48,872 | 33,997  | 23,157 | 20,614 | 1,26,640           |

Bank Group wise number of branches of Public Sector Banks  as on 30.06.2015

|                        |        | URBAN   |        |        | Population Group   |
|------------------------|--------|---------|--------|--------|--------------------|
| SBI AND ITS ASSOCIATES | 8,052  | 6,611   | 4,329  | 3,644  | 22,636             |
| NATIONALISED BANKS     | 21,729 | 17,082  | 13,149 | 11,753 | 63,713             |
| PRIVATE SECTOR BANKS   | 4,334  | 6,523   | 4,536  | 4,739  | 20,132             |
| FOREIGN BANKS          | 8      | 12      | 56     | 245    | 321                |
| REGIONAL RURAL BANKS   | 14,749 | 3,769   | 1,087  | 233    | 19,838             |
| All Bank Groups        | 48,872 | 33,997  | 23,157 | 20,614 | 1,26,640           |

URBAN

METROPOLITAN

## Annexure 2

## State-wise progress of Tribal Districts under PMJDY  as on 28.10.2015

|   S.No | State Name               |   No of Districts |   No. of accounts opened |   Amount deposited (in Lac) |
|--------|--------------------------|-------------------|--------------------------|-----------------------------|
|      1 | ANDAMAN &NICOBAR ISLANDS |                 1 |                     1612 |                       59.93 |
|      2 | ARUNACHAL PRADESH        |                16 |                   113716 |                     2145.82 |
|      3 | ASSAM                    |                 7 |                   914570 |                     9220.85 |
|      4 | CHHATTISGARH             |                13 |                  3650666 |                    29190.5  |
|      5 | DADRA &NAGAR HAVELI      |                 1 |                    52423 |                     1526.94 |
|      6 | GUJARAT                  |                 9 |                  2010637 |                    28257    |
|      7 | HIMACHAL PRADESH         |                 3 |                    59753 |                     1532.95 |
|      8 | JAMMU &KASHMIR           |                 5 |                   159207 |                     2971.19 |
|      9 | JHARKHAND                |                13 |                  2324227 |                    21308.2  |
|     10 | LAKSHADWEEP              |                 1 |                     5005 |                      395.23 |
|     11 | MADHYA PRADESH           |                19 |                  5026944 |                    30099.2  |
|     12 | MAHARASHTRA              |                 4 |                  1268885 |                    14836.2  |
|     13 | MANIPUR                  |                 5 |                   171525 |                     2528.9  |
|     14 | MEGHALAYA                |                 7 |                   203407 |                     4358.26 |
|     15 | MIZORAM                  |                 8 |                   124068 |                      881.45 |
|     16 | NAGALAND                 |                11 |                   153007 |                     1557.36 |
|     17 | ORISSA                   |                14 |                  2262927 |                    32538.6  |

Bank Group

RURAL

SEMI-

ALL

| 18    | RAJASTHAN   | 6     |   2295324 |   25807.42 |
|-------|-------------|-------|-----------|------------|
| 19    | SIKKIM      | 4     |     71513 |    1458.69 |
| 20    | TELANGANA   | 1     |    498560 |    2737.65 |
| 21    | TRIPURA     | 4     |    444989 |   14132.8  |
| Total | Total       | Total |  21812965 |  227545    |