Priority sector advances in Arunachal Pradesh have the potential to grow by about 14% from the potential estimated for the current year– NABARD’s State Focus Paper highlights. The exploitable credit potential for priority sector in the state for 2020-21 at ₹712.5 core as against ₹625.8 crore during 2019-20.
The ‘State Focus Paper 2020-21’, was unveiled by Wangki Lowang, Minister for PHE&WS, DoTC, Govt of Arunachal Pradesh during the State Credit Seminar conducted by NABARD today in the DK Convention Centre, Itanagar. Officials from line departments, representatives from different banks, Krishi Vigyan Kendras and NGOs, along with, progressive farmers and entrepreneurs participated in a ‘State Credit Seminar’.
As the beginning of the credit planning process in the state, NABARD prepares Potential Linked Credit Plans estimating the sector-wise exploitable potentials for Ground Level Credit (GLC) flow from formal financial institutions to different priority sector activities for all the districts, every year. The credit potential estimated in PLPs are aggregated at the state level as State Focus Paper and presented in the State Credit Seminar.
The document underscores that the realization of these exploitable potentials assessed, requires support from various development agents like government in form of creation of enabling policy changes, like land reforms, infrastructure development, technology support, extension services, Research and Development, etc. However, most importantly the bankers need to be pro-active in providing credit support to farmers and entrepreneurs for capital formation as well as working capital requirements.
The activity-wise credit potential estimated by NABARD form basis for preparation of Annual Credit Plans at district level and State Level. Normally SLBC completes the credit plan preparation and allocation to various banks by March end, so that the targets are available to various banks in the beginning of the next financial year.
While releasing the State Focus paper, Minister Wangki Lowang urged the banking community to give more thrust to disbursement of agricultural loan as the community is deprived of limited resources for investment. He appreciated NABARD for funding towards the development of the state. He stressed on proper scrutiny of backward and forward linkages before sanctioning of loan for various rural development projects to avoid NPA, need for increasing R&D in agriculture and allied activities for doubling of farmers’ income.
Earlier, welcoming the guests, Dr. Gopa Kumaran Nair, General Manager, NABARD highlighted the importance of credit in development of resource scarce economy like Arunachal Pradesh. He urged Government organisations, financial institutions and other change agents to dovetail their developmental agenda for attaining all Inclusive growth and NABARD will be further strengthen the linkages especially in the field of infrastructure creation, financial inclusion, institution building, aggregation of farmers, social re-engineering, etc.
Prof. Saket Kushwaha, Vice Chancellor, RGU, in his address informed the forum about commencing of Agricultural course from next academic year and regarding setting up of an incubation centre in the University.
G S Meena, IAS, Power & Hydropower Commissioner, highlighted importance, potential and need for removing constraints in hydro electrical power projects which has tremendous potential to increase GDP of the State, by creating synergy among community, forest and power departments.
Onit Panyang, IAS, Secretary, Co-operation, highlighted the lack of awareness about financial products among the public. He suggested enhancing financial literacy including strengthening of Co-operatives and effective utilization of available infrastructure. He also informed about the success of Weavers’ Cooperatives in marketing their products abroad.
Arup Dutta, Regional Manager, SBI appreciated NABARD for selection of theme ‘High Tech Agriculture’ for the State Focus Paper as it is very relevant to Arunachal Pradesh and shared his experience on high tech projects in other North Eastern States.
S S. Vaseeharan, DGM, NABARD presented highlights of the State Focus Paper especially on exploitable credit potential for the state of Arunachal Pradesh.