NABARD projects credit potential of Rs 1,41,284 cr for Punjab during FY16

Out of this, the share of crop loan works out to about 50%

NABARD has projected a credit potential of Rs 1,41,284 crore under priority sector lending in Punjab for 2015-16, out of which half (50 per cent) is for crop loan supporting agricultural production directly and 15 per cent of the aggregate PLP(Potential Linked Plan) projection for capital formation and long term investments in agriculture and allied activities. The state focus paper was unveiled by Punjab Chief Secretary Sarvesh Kaushal here in Chandigarh.

Naresh Gupta, CGM, Punjab Regional Office, Chandigarh, while presenting the highlights of the State Focus Paper for 2015-16, mentioned that in line with the objective of sustaining 4% agriculture growth during the 12th FYP, the theme of this year's State Focus Paper is "Accelerating the pace of capital formation in agriculture and allied activities". NABARD has projected a credit flow of Rs. 141,284 crore under the priority sector in Punjab state during 2015-16.

Of the aggregate credit plan of Rs 1,41,284 crore for 2015-16, share of crop loan works out to about 50% (RS 70810 crore), agricultural and allied sector term loan (investment credit) at Rs. 21227 crore, MSME at Rs. 22402 crore and other priority sector at Rs. 26845 crore. He also put forth the sector specific issues to realize the credit potential.

In order to direct the credit flow to various sectors, potential for these sectors has been assessed, which will in turn help the banks to plan their credit offtake during 2015-16. Projections for some important sub-sectors are Rs 3,525 crore for dairy development, Rs 1,733 crore for storage /market yards, Rs 2,892 crore for farm mechanisation, Rs 1,490 crore for land development, Rs 751 crore for irrigation sector, Rs 799 crore for poultry, Rs 353 crore for plantation & horticulture, etc.

On this occasion, to give impetus to agriculture term loan financing by banks, a model scheme on polyhouse and banking plan on dairy sector for 5 districts (Ludhiana, SBS Nagar, Jalandhar, Hoshiarpur and Amritsar) was launched by the chief secretary, Govt. of Punjab.