Question : EXTENSION OF LOAN THROUGH MICRO FINANCE INSTITUTION

(a) whether Public Sector Banks (PSBs) and Private Sector Banks extend loans to agricultural sector through micro-finance institutions; and

(b) if so, the details thereof?

MINISTER OF THE STATE IN THE MINISTRY OF FINANCE (SHRI NAMO NARAIN MEENA)

(a) & (b): Public Sector Banks (PSBs) and Private Sector Banks are providing bulk loans to Micro Finance Institutions (MFIs) for various purposes including agriculture. Loans given by PSBs and Private Sector banks to MFIs for various purposes, including agriculture as on 31 March, 2007 and 31 March, 2008 are as follows:

(Rs. Crore)

Particulars	2006-07	2007-08

Commercial Banks
(Public and Private)
Loan disbursed by 1,151.34	1,968.60
banks to MFIs
Loan outstanding 1,584.27 2,745.24
with banks