Mumbai: Minister of Finance Nirmala Sitharaman has asked the banker to start a credit outreach program from October.
They are also asked to meet industrial associations and exporters, and help promote one product for export from each district.
“To maintain the momentum of the stimulus that we give regularly, we have also asked the bank to come out and give credit,” he said, overcoming a press conference after meeting his review with the head of the bank in Mumbai on Wednesday.
The Minister of Finance refers to the ‘Loans’ of 2019 carried out by banks in 400 districts to promote credit in retail, agriculture & MSMEs (referred to as RAM).
“Around Rs 4.9 Lakh Crore is channeled as part of outreach between October and March 2019.
This year also, there will be credit outreach in each country district,” Sitharaman said.
He showed that it was too early to conclude that there was a lack of demand for credit and the celebration season would see natural pickups.
“In the context of Fintechs, I have highlighted the Bank two aspects – profits for technology banks, and also meets Fintech’s needs as sectors,” he said.
Public sector banks are also asked to find plans for credit flow to the eastern state with high deposits and low credit deposits.
The Minister of Finance is all praise for public sector banks, which he said financially carried out by recording profits and out of bank reserves of Corrective Action Crocors Framework.
They also managed to collect capital from the market even when they serve the government scheme during a pandemic without going to track in their merger process.
Before the pandemic, the government has announced the merger of 10 public sector banks to four, which has since been completed.
In the stock divestment in the public sector insurance company, the Minister of Finance said that the government had decided to have a minimal presence in the insurance sector.
This means that he will continue to hold shares in life insurance corporation, general insurance companies and in non-life companies.
Sitharaman, who had previously held a meeting with direct tax council officials and indirect tax & customs council, said that the government had – through the use of technology – has been able to identify several methods used to play systems.
He said that normal for the GST collection was Rs 1.1 Lakh Crore a month.
In inflation, the Minister of Finance said that the government had taken a few steps to keep prices below check by cutting import duties on edible pulses and oils, in its estimates, inflation would be in the 6% target range.