NABARD’s SFP put credit potential of AP projects at Rs. 70,849 cr

The State Focus Paper (SFP) for Andhra Pradesh, prepared by NABARD, has projected a credit potential of Rs 70,849 crore for farm and non-farm sector activities under priority sector for 2011-12.

The projected growth during 2011-12 over current fiscal is estimated at 16.3 per cent.

Minister for Finance A Ramanarayana Reddy today released the SFP in a seminar organised by NABARD.

The SFP projected the crop loan at Rs 33,528 crore and the agriculture term loans have been pegged at Rs 10,531 crore.

For non-farm sector, an amount of Rs 7,157 crore has been suggested while that of other priority sector stood at 19,633 crore including Rs 8,920 crore for financing Self Help groups in the State under the SHG-Bank linkage program and community-based sustainable agriculture.

Dr A K Bandopadhya, in his inaugural address, indicated that while there were massive investments by the State government, especially in irrigation sector, the ground level investment credit has not picked up in a commensurate manner.

He suggested bankers to step up the financing at the farmer’s level.

The total projection for financing to SHGs for the year 2011-12 works out to Rs 11,011 crore after including Community Managed Sustainable Agriculture (CMSA) financing at Rs 2,091 crore which is projected under agriculture term loan

The SFP is an aggregation of the district-wise potential linked credit plans prepared for each district.