13 PSU banks fail to meet agriculture lending target | india | Hindustan Times
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13 PSU banks fail to meet agriculture lending target

india Updated: Nov 01, 2009 12:04 IST

As many as 13 public sector banks, including big ones such as Bank of Baroda, Central Bank of India and Union Bank of India, have failed to achieve the annual farm sector lending target during the last fiscal.

Besides, Corporation Bank, United Bank of India, Dena Bank, Vijaya Bank, Bank of Maharashtra, Oriental Bank of Commerce and Punjab and Sind Bank also missed the target, said a report on trend and progress of banking in India 2008-09 released by RBI.

Only 14 out 27 state-owned lenders could achieve the target of disbursing 18 per cent of the net bank credit to the agriculture sector during 2008-09.

Among SBI associates, State Bank of Mysore, State Bank of Patiala and State Bank of Tranvancore could not meet the stipulated farm credit target, it said.

The performance of the private sector banks on this count was worse as only eight out of 22 had done 18 per cent or more lending to the farm sector, it said.

Among those which achieved the mandatory level are SBI, Punjab National Bank, Allahabad Bank, Andhra Bank, Bank of India, Indian Bank, and State Bank of Bikaner and Jaipur.

The RBI has mandated banks (both in public and private sector) to provide 18 per cent of Adjusted Net Bank Credit to agriculture sector, of which 13.5 per cent is to be disbursed as direct credit and 4.5 per cent towards indirect credit to agriculture.