Pros and cons of PMJDY


135th meeting of State Level Bankers’ Committee Haryana was held today at Hotel Mount View, Sector 10, Chandigarh. Shri Sunil Kumar Gulati, IAS, Additional Chief Secretary, Social Justice & Empowerment Department, Govt. of Haryana was the Chief Guest of the Meeting. The meeting was presided over by Shri Gauri Shankar, Executive Director of Punjab National Bank.  Madam Ranju Prasad, Secretary Finance, Govt. of Haryana, Shri A.K. Ralhan, MD & CEO, CERSAI, Shri Gulab Singh, Dy. Secretary, DFS, MOF, GOI, New Delhi,Shri Anjani Misra, General Manager, Reserve Bank of India, Chandigarh, Shri P.C. Chaudhri, CGM, NABARD, Regional Office, Haryana, Dr. Rakesh Gupta, General Manager, PNB, Head Office, New Delhi, Shri Rajesh Jindal, Convener, State Level Bankers’ Committee, Haryana, Senior Officers of the State Govt. and Controlling Heads of the Banks operating in the State of Haryana were among those who attended the meeting.

Shri Gauri Shankar, Executive Director, Punjab National Bank and Chairperson of the meeting in his key note address informed that since launch of Pradhan Mantri Jan-Dhan Yojana (PMJDY) on 28th August, 2014, banks have opened 5258697 accounts up to 15TH January, 2016 and garnered an amount of Rs.1112 crore under this scheme.  Out of total 2216614 accounts of women have been opened which is 42% of the total accounts opened and Rupay Cards have been issued in 4240790 accounts which is 81% of the total accounts opened.  Shri Gauri Shankar called upon all the bankers to continue opening of accounts under PMJDY till the coverage of last un-banked person and issue Rupay Cards in all accounts.

While informing the house about the progress made by banks in recently launched 3 Social Security Schemes namely Pradhan Mantri Suraksha Bima Yojana (PMSBY) for accidental death insurance, Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) for life insurance cover and Atal Pension Yojana (APY) for old age pension, he informed that under PMSBY the banks have enrolled 2528358 persons, under PMJJBY enrolled 813533 persons and  in Atal Pension Yojana (APY) enrolled 42670 persons upto 15th January, 2016.  He called upon the bankers and the officials from respective insurance companies to accelerate their efforts to extend the benefits of the scheme to a large number of masses in the State.

While speaking on Pradhan Mantri MUDRA Yojana, Shri Gauri Shankar said that Pradhan Mantri MUDRA Yojana was launched to”fund the un-funded” by bringing such enterprises to the formal financial system and to extend affordable credit to them.  So far, the offering of MUDRA mainly consist of non-farm enterprises in manufacturing, trading and services whose credit needs are below 10 lakh.  He informed that under MUDRA loans as on 15th January, 2016 the banking system in Haryana has disbursed an amount of Rs.1547 crore against Annual Target of Rs.2133 crore and achieved 73% of annual budget in first 9 months for Financial Year 2015-16 in all three categories of MUDRA i.e. Shishu loans, Kishore loans and Tarun loans.  Since the MUDRA loan campaign gained full momentum in the month of July – August 2015 after its launch in the month of April 2015, he expressed that banks have done good job and hoped that in remaining period of the Financial Year 2015-16, the banks in Haryana will not only achieve but surpass the annual budget under PMMY.

Sh. Gauri Shankar, the Chairman of the meeting informed that 21 RSETIs (Rural Self Employment Training Institutes)/RUDSETIs are working in the state. As at December, 2015, 67245 trainees including 36633 women & 431 handicapped persons participated in 2368 training programmes of Skill Development at these RSETIs. 9023 trainees were financed by the banks to start their enterprises.

While speaking on Financial Literacy, Shri Gauri Shankar said that Financial Literacy Programme has an important role to play in Financial Inclusion and Financial Empowerment of people by creating awareness about the services and facilities being extended by banks.  About Financial Literacy Centres it was informed that 108 FLCs are providing Financial Education to the public in the State and during the year ended December, 2015 (2015-16), 1790 camps were organized in which 75341 persons participated.

While reviewing the performance of the banks for the review period from 1st January, 2015 to 31st December, 2015 under various key parameters, Sh. Gauri Shankar informed that the Banking System in the State achieved all the National Goals during period under review.  He informed that the Commercial Banks and RRBs opened 228 new Branches during review period thus raising the total number of branches to 4386.  The Total Deposits of Commercial Banks/RRBs increased to Rs. 237247 Crore as at December, 2015 from Rs. 206561 crore as at December, 2014 thus showing an increase of Rs. 30686 Crore or 15%.

 The Total Advances during the review period increased to Rs. 191542 Crore registering a growth of Rs.20727 Crore or 12%. Priority Sector Advances gone up from Rs.81438 crore to Rs. 103359 Crore recording an increase of Rs. 21921 or 27% during the review period.  Priority Sector Advances to total advances in the State as at December, 2015 stands 54% as against National Goal of 40%.  Agriculture Advances increased from Rs. 32351 Crore to Rs. 39998 Crore exhibiting a growth of Rs.7647 Crore or 24% during the review period.  The ratio of Agriculture Advances to total advances was 21% as against National Goal of 18%. Advances to Micro, Small & Medium Enterprises increased to Rs. 48161 Crore as at December, 2015 showing a growth of 42%. Weaker Sector advances gone up to Rs. 23273 Crore as at December, 2015 thereby registering a growth of 17%. Overall CD Ratio as at December, 2015 for State as a whole was 81% against National Goal of 60%.

While informing about the “Start Up India” Programme launched by Hon’ble Prime Minister of India, Shri Gauri Shankar informed that Banks have given loan under Start Up India to 3069 SC/ST & 5200 Women beneficiaries with outstanding of Rs.110.29 crore and Rs.201.93 crore respectively during the quarter ended December, 2015.

The overall achievement of banks under Annual Credit Plan 2015-16 was 94%. The achievement under Agriculture, MSME and Other Priority Sector was 88%, 139% and 72% respectively.

He laid focus on educating the borrowers about the timely repayment of bank dues. He also requested the State Govt. to help the banks in the early settlement of 19909 Recovery Certificates filed under HACOMP Act involving an amount of Rs. 519.79 Crore pending as at December, 2015. He requested the State Govt. to take necessary steps to improve the recovery as the recovery of advances is the urgent requirement of banks for re-cycling of funds and for viable banking operations.

Shri Sunil Kumar Gulati, IAS, Additional Chief Secretary, Social Justice & Empowerment Department, Govt. of Haryana, Chief Guest of the Meeting in his key note address expressed pleasure to be associated with SLBC. He said that role of bankers is very important as banks can provide livelihood to the masses. Banks in the state have played a vital role in Direct Benefit Transfer (DBT) Scheme for Social Welfare Schemes. Haryana has become the First State to transfer the social benefits directly through banks.  Aadhaar has been seeded in about 20 lac accounts out of about 22 lac accounts of DBT beneficiaries. He requested the bankers to seed the aadhaar in the remaining accounts as well as accounts opened under PMJDY. Touching upon the concern of the banks on increasing NPAs, Shri Gulati assured full support and cooperation from the State Government in recovery of bank dues. Shri Gulati informed that India can become care taking destination of the world and Haryana Government has taken the initiative in starting Care Taking Training in the Nursing Colleges of Haryana. He requested the banks to start same coursed in the RSETIs being run by them and assured full support from the State Government in this regard. In the last he appreciated the performance of the banks.


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