Naidu asks bankers to extend loans to horticulture sector

Naidu said that the state was aiming at achieving 15% growth rate in the next two decades, with focus on primary sector

Andhra Pradesh chief minister N Chandrababu Naidu on Monday appealed to public sector banks to extend liberal credit facility to farmers in horticulture sector on par with agriculture sector, in the wake of changing food habits of people.

N Chandrababu Naidu (ANI)

Addressing the state-level bankers committee (SLBC) meeting at the secretariat in Amaravati, Naidu said that the state was aiming at achieving 15% growth rate in the next two decades, with focus on primary sector. The bankers will play a major role in achieving this target, he said.

“The farmers are giving up traditional farming methods and going in for modern methods of cultivation. They are taking up organic farming and horticulture crops in tune with the changing food habits of people,” he said, and appealed to the bankers to extend loans to the farmers in these fields.

The chief minister called upon the banks to speed up their lending process, so that farmers will get loans, according to their eligibility, within 15 minutes. He also asked the bankers to encourage allied sectors such as dairy development and establishment of cold storages for vegetables.

Expressing concern over increasing number of farmers’ suicides across the country and also in the state due to mounting debt burden, Naidu said the bankers should adopt a humane approach in the recovery of loans. “The state government will do a lot of brainstorming in coordination with the bankers to prevent farmers’ suicides,” he said.

The chief minister also appealed to the bankers to extend liberal credit facility to people going in for erecting solar panels on their houses. “Under PM Suryaghar scheme, we have set a target of covering 20 lakh houses this year. We shall extend solar panels up to 2 kilowatt capacity to the houses of Scheduled Castes and Tribes,” he said, adding that the banks should take initiative in promoting consumption of solar energy.

Union Bank of India chief executive officer A Manimekhalai, who is the lead banker of the SLBC, said the bankers had achieved 99% of the target of loans fixed under the annual credit policy for Andhra Pradesh in 2024-25.

“As against the target of ₹5.40 lakh crore loans, the bankers had extended loans up to ₹5.34 lakh crore. In the agriculture sector alone, the target was ₹2.64 lakh crore and the lending was done to the extent of ₹2.37 lakh crore,” she said.

State agriculture minister K Atchennaidu requested the bankers to consider extending loans even to the tenant farmers, apart from the land owners. He also appealed to the banks to encourage drone technology in agriculture sector.

State finance minister Payyavula Kesav, minister for MSME and NRI empowerment Kondapalli Srinivas and chief secretary K Vijayanand also addressed the SLBC meeting.