Daijiworld Media Network – Udupi (MS)
Udupi, Aug 5: For every Rs 100 deposit that is being collected in the banks of the district, only Rs 47.25 is given out as loan. Shortage of committed and quality loan seekers is bothering the financial institutions severely.
As of March 31, 2022, the banks have Rs 32,109 crore in deposits. However, it is able to shell out Rs 15,173 crore in loans. As the target of 50% of loan is not reached, the managers and officials of the bank are distraught.
The target was to give Rs 11,452 crore as loan for the year 2021-22. However, only Rs 10,913 crore was given out in loans. Only in home loans and in the priority sectors like loan to weaker sections, MSME and small industries, the target has surpassed 100%.
For agriculture only Rs 2,866 crore could be given while the target was Rs 4,770 crore. In the small industry sector 75% of the target is reached while for medium scale industries 120% achievement is done by the banks.
Banks cannot give out loans as they wish. They should assess the repaying capability of the loan taker. The deposits of NRIs is Rs 5,000 crore and above as of now. There is no demand for industrial loans. The land ownership of those who seek agricultural loans is less. So there is no demand for more than 50 percent, says P M Pinjara, chief manager of Canara Lead Districts Bank.
On the whole, there are 32 banks in Udupi district. They have 407 branches. The deposit in them is Rs 32,109 crore. They have given a loan of Rs 15,173 crore. Total turnover is Rs 47,282 crore.