Mukherjee to meet chiefs of public sector banks today

Union Finance Minister Pranab Mukherjee will meet chiefs of public sector banks here today to take stock of the financial performance of the banks and their projections for the current year

The meeting is also expected to discuss the impact of rising benchmark prime lending rates (BPLRs), which will affect auto, home and education loan costs for existing borrowers.

Mukherjee will also dwell upon credit flow to productive sectors as well as to priority sector.

The meeting will also discuss review of credit growth, including to the agriculture and infrastructure sectors.

The banks will be asked to give their action plan to reach out to those who are still left outside the banking network by using new IT technologies and business correspondents etc.

Infrastructure lending, lending to minority communities, implementation of Interest Subsidy Scheme for Housing the Urban Poor (ISHUP), pension reforms and issues related to Regional Rural Banks (RRBs) are also placed on the agenda of the aforesaid meeting.

One of the key points of discussion in the meeting would be financial inclusion to provide appropriate banking facilities to habitations having a population above 2,000 by March 2012.

It is to be noted that Mukherjee had a meeting with bankers and chief ministers of four regions.  The fourth and last in the series of regional meetings held by Mukherjee was on July 20.

The meeting takes place at a time when most of state-owned banks have announced their first quarter results.