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UP loan mela: Retail, agri grab a third of total Rs 2,125 cr disbursals

Banks collectively interact with 70,000 people, get more than 41,000 applications, of which 30,879 get on spot sanctions

Virendra Singh Rawat  |  Lucknow 

retail loans

Public sector banks disbursed nearly Rs 2,125 crore during phase-1 of the ongoing ‘loan mela’ programme in Uttar Pradesh.

The loan mela, spanning five days starting October 3, covered 27 districts in the state, wherein retail and agricultural segments logged the maximum advances of Rs 807 crore and Rs 564 crore respectively, totalling Rs 1,371 crore.

“During phase-1 of the loan mela, all the banks collectively interacted with around 70,000 people and received more than 41,000 applications, of which 30,879 applicants were provided with on spot sanctions worth Rs 2,125 crore,” Ramjas Yadav, general manager of UP lead banker Bank of Baroda (BoB), told the media here this evening.

He said phase-2 of the loan mela would start on October 22 across 19 districts and will continue till October 25.

Micro, small and medium enterprises (MSME) accounted for about Rs 551 crore during phase-1 of the ‘customer outreach’ programme in the state, followed by Rs 203 crore by the Pradhan Mandtri MUDRA Yojana (PMMY).

“In the next phase starting Tuesday, we will focus on providing credit for agricultural and allied activities directly related to rural income generation, such as dairy and animal husbandry. At the same time, we will encourage customers to apply for education loans,” Yadav said.

The Western UP district of Kasganj clocked the highest quantum of loan sanctions, at more than Rs 600 crore, accounting for nearly 30 per cent of net loan approvals.

“About 12-15 per cent of the total agricultural loans were provided for farm implements, including tractors,” Yadav added.

The loan melas are being organised across 400 districts in India in phases, according to the guidelines of department of financial services (DFS) under the union ministry of finance.

Under these loan melas, special focus is being accorded to flagship central schemes like Kisan Credit Card (KCC), Pradhan Mantri Mudra Yojana (PMMY) and Stand Up India (SUI). At the same time, emphasis is being given to financial inclusion schemes and encouraging consumers and merchants towards using digital payment systems.

First Published: Sat, October 19 2019. 18:57 IST