With banks providing less than 10 per cent of the budget target as loans to 1 lakh tenant farmers in the state so far this fiscal, Chief Minister N. Kiran Kumar Reddy on Friday asked bankers to improve disbursement, as the farmers need the banks’ support .
“We had a target of Rs 2,000 crore (in the Budget) but only Rs 196 crore has been disbursed to tenant farmers so far. That is less than 10 per cent of the target. It’s a matter of deep concern and deserves attention,” Mr Reddy, who chaired the 179th State-Level Bankers Committee meeting, said.
Banks had given Rs 350 crore in way of loans to 1.95 lakh tenant farmers in the state in 2011-12 financial year.
In another development, the government announ-ced that it would come out with a new policy soon on renewable energy like solar, wind and hydel power to overcome the severe electricity crisis that has gripped the state.
“There is no clear policy (on renewable energy-based power) at present. So banks hesitate to finance such projects,” finance minister Anam Ramnarayana Reddy said.