JAMMU, June 18: Government has constituted a committee to suggest measures to improve the position of low Credit-Deposit (CD) ratio in the State, particularly in the districts of Jammu region.
According to an order issued by the Government, sanction has been accorded to the constitution of a committee for facilitating priority sector lending in the State, particularly under Agriculture, MSMEs and Housing Sectors, to address low CD ratio in the State.
As per the order, Administrative Secretary, Finance Department will be the Chairman of the committee where as Administrative Secretary, Housing & Urban Development Department, Administrative Secretary, Industries & Commerce Department, Administrative Secretary, Agricultural Production Department, Deputy Commissioner, Jammu/Srinagar, President of J&K Bank (convener SLBC), Director General Manager, SBI, J&K, Zonal Head, HDFC Bank, J&K, Director General Manager, PNB, J&K and General Manager, State Cooperative Bank, J&K will be the members of the committee.
The Committee will identify the reasons for poor credit flow in the priority sectors like Agriculture, MSMEs and Housing Sectors in the State, particularly in the districts with low Credit-Deposit ratio and suggest measures to improve it on sustained basis.
It will also examine the credit and deposit growth in the State and identify reasons underlying the slowdown of deposits in banks, if any, and further determine if the low deposit growth is driving the poor CD ratio. Moreover, the committee will suggest monitorable actionable plan to improve CD ratio in the State, particularly in the districts of Jammu region, and will furnish its report to the State Level Bankers’ Committee in its next meeting.