By Bizodisha Bureau, Bhubaneswar, June 13, 2017 : The credit deposit [CD] ratio excluding advance sanctioned in other states and utilised in Odisha is pegged at 50.93% against the bench mark of 60%. The CD ratio has declined by about 6% in 2016-17 and the credit investment to deposit ratio has deteriorated by around 5%.

Addressing the 147th State level Bankers’ Committee [SLBC] here on Tuesday, the finance and excise minister Shashi Bhusan Behera said that comparative position of credit deposit ratio during 2015-16 and 2016-17 does not inspire confidence.

“The achievement of annual credit plan target in 2016-17 vis-a-vis the target under the Annual Credit Plan for priority sector is 67.63%. The advance to the MSME sector has come down by 18% in 2016-17 over the level of advances given during 2015-16. The state of education loans and advances to weaker sections has declined marginally. These are disturbing trends”, Behera remarked.

He called upon the Bankers to work in a team spirit to provide quality banking services in the state for better livelihood opportunities to the masses along with social security and help improve their quality of life.

Underscoring the need for the Banking Institutions to create an encouraging atmosphere in extending credit for manifold development in the state, Behera said that a realistic bank wise and district-wise credit target of Rs.60,000 crore has been firmed up in the District Consultative Committee which is proportionate to the deposit mobilised by the banks in the respective districts.

He called upon the banking community to make all out effort to achieve this target in 2017-18 and help enhance credit flow to all segments of the priority sector. He also said that 340 brick & mortar branches and 337 fixed location baking correspondents/Ultra Small Branches are being proposed to be opened in unbanked gram panchayats over a period of 3 years.

The minister He also assured the bankers to provide basic infrastructure like public space in the Gram Panchayat headquarters and power connection for opening up of brick and mortar branches or fixed point Banking Correspondents. He also inaugurated a Portal on Banking Network in Odisha.

Development Commissioner, R. Balkrishnan suggested for formation of thematic subgroups besides the structured SLBC to deliberate and identify sector wise credit delivery in order to have a joint accountable system in the state for banking and financial institutions.

Finance department principal secretary, Tuhin Kanta Pandey underlined the importance of connectivity as a major instrument of development and growing economy and emphasized on cluster financing. He also said that Reserve Bank guideline to cover 25% of banking outlets in rural areas should be strictly adhered. Pandey stressed upon promotion of digital transactions by providing Point of Sale (PoS) devices to government offices, agencies and business establishments.

The SLBC meeting was attended by officials of Reserve bank of India, NABARD, Nationalized Banks, Public Sector Banks, Financial Institutions, Insurance Companies, Secretary and Directors of various Departments, Lead Bank Managers and District Collectors.