NABARD urges banks to give top priority in lending to FPOs

NABARD Potential Linked Credit Plan prepared with an estimate of ₹6,095 crore, for the year 2023-24, gets approved by Vizianagaram district administration

National Bank for Agriculture and Rural Development (NABARD)‘s Vizianagaram District Development Manager T. Nagarjuna, on January 19 (Thursday), said that all the banks were suggested to give top priority in lending to Farmers’ Producers Organisations (FPOs) so that they would get remunerative prices for their produces. He said that NABARD was keen to promote more FPOs in the district to enhance the marketing skills of the farmers whose unity would improve the bargaining capacity for agri-products.

Speaking to The Hindu, he said that NABARD’s Potential Linked Credit Plan prepared with an estimate of ₹6,095 crore for the year 2023-24 was approved by the Vizianagaram district administration and was released by Joint Collector K. Mayur Ashok.

“Our aim is to improve the income sources of the farmers. That is why we are encouraging them to concentrate on dairy development to get additional income. Progressive farmers can create awareness among others and make them join new FPOs which are able to export their products to other States and countries too,” said Mr. Nagarjuna.

Mr. Nagarjuna said that the bank’s timely credit service would instil confidence among the farmers and thereby they would not depend on private lenders who give loans with exorbitant interest rates.

He said that fisheries, small and medium-scale industries, education, and housing were also kept in the credit plan as NABARD wanted to improve civic and basic infrastructure in rural areas of Vizianagaram district. He said that NABARD would hold meetings regularly with bankers for the effective implementation of priority schemes of the Union and State governments.