BIJAPUR: Syndicate Bank, the lead bank of the district, has released Rs. 830.98 crore in the annual credit plan for 2007-08, with a focus on the agriculture sector.

Explaining the salient features of the plan, Lead District Manager Gururaj Hosur said Rs. 708.62 crore had been allocated for the priority sector.

Of this, Rs. 574.55 crore would go for farm activities alone. He said horticulture, minor irrigation, watershed developments, and dairy sectors were major beneficiaries with regard to term loans.

The incentive of lower interest rates on crop loan offered by Central State Governments was expected to increase the demand for crop loan. It prompted banks to increase the outlay of crop loan substantially at Rs. 429.31 crore. While the allocation for small-scale industries and non-farm sectors would get Rs. 20.18 crore, other priority sectors would receive Rs. 113.98 crore.

Mr. Hosur said it had been decided to encourage self-help groups (SHGs) to undertake income-generating activities.

He said loans were disbursed through 156 branches of commercial, rural and cooperative sector banks in the district. Of the total credit of Rs. 830.98 crore, the share of commercial banks was Rs. 367.96 crore.

While the Karnataka Vikas Bank would disburse loans to an extent of Rs.155.65 crore, the cooperative sector financial institutions would make up Rs. 302.45 crore.

The Karnataka State Finance Corporation had been given a target of Rs. 4.9 crore credit mostly industrial loans.

Among the five taluks, Mr. Hosur said, Bijapur stood first by availing Rs. 344 crore while the demand of Muddebihal was Rs. 62.59 crores. The remaining taluks such as Indi, Sindagi and Basavanabagewadi had been allocated Rs. 166.53 crores, Rs. 140.75 crores and Rs. 116.22 crores, respectively.

N.T. Hegde, Regional Manager of Syndicate Bank, said notwithstanding the drought condition in the region, banks had been faring well. In the last two years, the credit flow to the agriculture sector had doubled.

Launching the credit plan, Deputy Commissioner Mohammad Mohsin called upon bankers to make available loan facilities to the poor, engaged in unskilled work.

Referring to the high rate of suicides among farmers, he said, they needed proper counselling and instilling of self-confidence.

Zilla panchayat president Arjun Rathod said government agencies extend more cooperation in

recovering the loan especially lent by cooperative banks.

Zilla Panchayat Chief Executive Officer Rajiv Ranjan spoke. Head of district unit of NABARD Parandama; regional manager of Grameen Bank K.K. Shripati; and managing director of Bijapur District Central Cooperative Bank M.G. Patil, participated.

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