Nabard to transform 700 primary co-op societies into multiservice centres

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The National Bank for Agriculture and Rural Development (Nabard) is planning to transform about 700 primary agriculture cooperative societies (PACS) into multiservice service centres (MSCs) in Andhra Pradesh in the current year.

The multiservice centre concept involves PACS taking up farm-related businesses like selling fertilisers to supplement their interest income and become financially viable in the process.

KR Nair, chief general manager, Nabard -AP regional office, said they had already converted 140 PACs into MSCs in the state in the first year of launching this scheme in 2012-13. The bank had provided Rs 13.12 crore credit support for this purpose in AP and it is one-third of the amount spent on MSCs across India, according to him.

Nabard raises funds at competitive rates from the market while leveraging its higher credit rating and channelises the same for credit support to banks and governments under various schemes, including the refinance.