Question : NABARD Assistance to States

(a) whether the National Bank for Agriculture and Rural Development (NABARD) has sanctioned/disbursed loans to various States from the Rural Infrastructure Development Fund (RIDF) for creating new rural infrastructural units during the last three years and the current year, project and State-wise including Maharashtra and Karnataka;

(b) whether any Non-Governmental Organisations (NGOs) have been engaged in the said projects and if so, the details thereof;

(c) whether the Government has set up any monitoring mechanism to check irregularities and ensure timely completion of NABARD funded projects and if so,
the details thereof; and

(d) whether there has been any fall in disbursement of loans under RIDF by NABARD despite increase in fund every year and if so, the details thereof along with the remedial measures taken by the Government in this regard?

The Minister of State in the Ministry of Finance


(a): During the years 2012-13, 2013-14 and 2014-15, the RIDF loan was availed by 23 states, 26 states and 29 states respectively. The State-wise & Sector-wise details of Sanction and Disbursement during last three years (2012-13, 2013-14 & 2014-15) and current year (2015-16), position as on 30 November 2015, including Maharashtra and Karnataka States, is given in Annexure I and II.

(b): Non-Governmental Organisations (NGOs) have not been sanctioned any project during last 3 years and the current year. All the projects are being implemented by the concerned Implementing Departments of State Governments.

(c): The State Govts. have their own mechanism for monitoring, which includes monitoring by their Engineers/ Officers in various grades, Engineers of Quality Control Wing, maintenance of visit registers, Test reports etc. The monitoring of RIDF projects by NABARD is by exception and is to be conducted through two tools i.e. Desk Monitoring (off -site) and Field Monitoring (on -site) as per the size of the project. Further, a High Power Committee (HPC) constituted by the respective State Governments under the chairmanship of Chief Secretary monitors the progress in implementation of the various projects sanctioned to the State under RIDF. It is an important institutional mechanism for reviewing progress of RIDF Projects and monitor the progress at highest level.


(d): There has been no fall in disbursement of loans under RIDF by NABARD. RIDF disbursements have increased from Rs.16,292.26 crore during 2012-13 to Rs.17,354.07 crore during 2013-14 and further to Rs.19,665.74 crore during 2014-15. During 2015-16, a target of Rs.20,000 crore has been kept for disbursement against which an amount of Rs.9,729.80 crore has been achieved during 2015-16 as on 30 November 2015. Appropriate upward revision of borrowing power of State Governments under Article 293(3), would improve further disbursement levels.


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