A Rs 1,10,945 crore annual credit plan for the 2012-13 fiscal with a targeted lending of Rs 82,167 crore to the priority sector, including Rs 52,972 crore for agriculture and allied activities, was released by the state government in Hyderabad today.
Andhra Pradesh Chief Minister N Kiran Kumar Reddy released the 2012-13 annual credit plan at the State-Level Bankers Committee (SLBC) meeting in Hyderabad as he asked the banks to increase the 'scale of finance' by 15-20 per cent this year.
While the 2011-12 credit plan showed an overall "achievement" of 107.45 per cent in respect of total priority sector lending, majority of it went to the agriculture and allied sectors while 'other priority sectors' like housing got only 70.33 per cent of the targeted credit.
Under the new annual credit plan, it is targeted to lend a sum of Rs 37,128 crore as crop loans for Kharif and Rabi seasons.
For the first time, the SLBC has earmarked a sum of Rs 2,000 crore exclusively for lending to licensed cultivators (tenant farmers) in tune with a legislation passed by the state Legislature.
Last year, 1.98 lakh licensed cultivators got only Rs 393 crore as loan from commercial banks, leaving the government displeased as it issued loan eligibility cards (LECs) to 5.76 lakh farmers.
This year the state government is seeking to issue LECs to 12 lakh farmers, according to Revenue Minister N Raghuveera Reddy.