Karnataka Bank targets 19% growth in farm lending

Mangaluru-based private sector lender Karnataka Bank is aiming at an agriculture advances portfolio of Rs 6,115 crore during 2015-16, a growth of 19 per cent over the previous year. The Bank focuses on agriculture lending through its network of agriculture development branches.

Currently, the bank has 10 Agriculture Development Branches (ADB), 142 Green Branches and 52 Agriculture Field Officers (AFOs) as dedicated resources for branches to ensure hassle-free agriculture lending and to minimise occurrence of non-performing advances.

"The Bank will continue to finance the needy borrowers under all sectors of agriculture to ensure inclusive growth in accordance with the recently revised guidelines of Reserve Bank of India," P Jayarama Bhat, MD & CEO of the Bank said at the Agri-Business Conference of the bank held today at its head office.

 

The Bank also launched 'Kisan Rupay Debit Credit' which is linked to Kisan Credit Card Overdraft (KCCOD) account of the farmer clientele with built in accident cover of Rs 1 lakh without any extra premium and validity period of ten years. It is expected to benefit large number of farmers who have availed crop loan in the form of KCCOD as they can transact through ATMs.

M S Mahabaleshwara, Chief General Manager, Karnataka Bank, in his special address said, "The Bank should focus more on developing a stress-free agriculture credit portfolio. Besides extending technical guidance to farmer clientele, the Agriculture Field Officers should ensure timely credit delivery and its end use and recovery."