Question : LOANS TO FARMERS

:

(a) whether banks in the country are not showing much interest in giving loans in rural areas ;

(b) if so, the reasons therefor ;

(c) the amount of loan provided by the banks to farmers in various States during the last three years and till date ;

(d) the State-wise percentage of amount of loan provided to the farmers as against the national level figures during the above period ;

(e) the State-wise number of applications received from the farmers for providing loan during the said period ;

(f) (he number of applications still pending out of them; and

(g) the steps taken for earlier clearance of these applications ?

Answer given by the minister


THE MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI GINGEE N. RAMACHANDRAN)

(a) and (b) No, Sir. Banks are lending to agriculture sector. In fact their advances to agriculture sector have been increasing as indicated below for the last three years :



Year Amount Outstanding (Rs. Crores)
March, 1998 35777.32 March, 1999 41210.82 March, 2000 49433.56


(c) The State-wise amount of loan provided by scheduled commercial banks to agriculture sector for the last three years, as reported by Reserve Bank of India (RBI), is given in Statement-l.

(d) The State-wise percentage of loan provided by scheduled commercial banks to farmers for the last three years is furnished in Statement-ll.

(e) and (f) The data reporting system of RBI and National Bank for Agriculture and Rural Development (NABARD) does not generate the information in the manner asked for.

(g) As recommended by High Levef Committee (R.V. Gupta Committee) on Agricultural Credit, loan forms have been simplified and standardized and simultaneously adequate powers have been delegated to field level officers of banks for quicker clearance of loan proposals.