Mumbai: Finance Minister Union Nirmala Sitharaman said on Wednesday that it was too early to say if there was a lack of demand for credit and announced the wise outreach of the district to do by the Bank to help credit growth from October.
The growth of push to credit from the outreach effort will also assist the momentum set by the stimulus package, which has been expanded by the government since the emergence of pandemics.
It can be noted that by the end of 2019, the Bank has “found loans” in 400 districts to encourage loan growth sagging.
Even now, credit growth has stumbled around 6 percent.
“I think it’s too early to conclude whether there is a lack of demand …
I don’t think it’s time to conclude that there are no credit pick-ups.
Even without waiting for indications, we have taken steps to increase credit,” Sitharaman told reporters to reporters here.
He noted that more than Rs 4.94 Lakh Crore was disbursed by the Bank between October 2019 and March 2021 through the initiative of outreach by them.
“This year is also around October, there will be credit outreach in every country district,” he said.
Sitharaman added that the government has announced that credit up to Rs 1.5 lakh will be given to borrowers through the NBFC-MFI.
“To maintain the momentum of the stimulus that we provide regularly, we also ask the bank to get out and give credit,” he said.
Meanwhile, Sitharaman said there was a need to increase credit growth in the eastern bag of countries in countries such as Jharkhand, West Bengal, and Odisha, where the population showed a higher tendency to deposit current money and savings.
The bank has also been asked to make a wise plan of the northeastern state to help the sector and exporter of logistics.
In addition, Sitharaman, who held a meeting with the leaders of all 12 state lenders, said the bank had been asked to reach exporters at the district level to help encourage the message “one district, one export” Prime Minister Narendra Modi.
In addition, the Minister of Finance said the bank was also asked to see the demands of the Fintech sector.