PATNA: Bihar deputy chief minister Sushil Kumar Modi on Saturday urged the RBI to bring the banking service procedure under the provision of Right to Services Act so as to maintain transparency in disbursal of loans. Addressing a meeting of chief ministers of eastern states convened by Union finance minister in Kolkata, Modi said the banks keep loan applications pending for long and then reject them. The banks do not maintain a register about approval and non-approval of loans, he said and suggested computerization of loan application processing to reflect the delays on the part of the banks in disposing of the applications. According to Modi, the banks provided only 53% of the 15 lakh Kisan Credit Cards which they were asked by the central government to provide to farmers in Bihar in 2010-11. In the current financial year too, the rate of disbursal of KCCs is not satisfactory, Modi said and added the farmers should be provided ATM cards along with KCCs and the loan amount through the KCC should be increased from Rs35,000 to Rs50,000. The Centre has so far made available only Rs265.06 crore out of Rs595.64 crore required for revival of primary agriculture credit societies and cooperative institutions in Bihar, Modi said and complained to the Union finance minister about slow pace of computerization of district cooperative banks by the Nabard. Modi also suggested creation of Education Credit Guarantee Fund for providing education loans.
TOI
