Dena Bank to extend Rs 100 cr loans to Nashik farmers

The bank is targeting 600 Dena Kisan Gold Credit Cards in the current fiscal

Dena Bank has set a Rs 550 crore target for agri loans to be provided to farmers for the current fiscal year 2005-06, of which Rs 100 crore will be distributed in Nashik district alone.

The loan is provided with an aim to boost the agricultural sector. The Bank has also decided to give a 0.5 per cent rebate on interest to farmers repaying loans promptly.

"For the current fiscal year 2005-06, the Bank has set a target of Rs. 550 crore agri loan to farmers. Considering the agricultural growth in Nashik district, agri loans amounting to Rs.100 crore will be distributed to farmers in Nashik alone. Farmers, who have good track record repayments, can avail up to 0.5 per cent interest rebate on their loans," said M V Nair, chairman & managing director Dena Bank.

Further on, Nair added that with tremendous innovations happening in the agricultural sector today and non-perfroming assets (NPA) being only around 4 per cent, Dena Bank has decided to concentrate on the growth of the sector. Last year, the bank had launched the 'Dena Kisan Gold Credit Card' and in this fiscal, it has set a target of issuing 10,000 cards to farmers across the country.

"Nashik is famous for grapes and there is a bright future for the agricultural sector in the district, due to the various factors like soil, climate and adequate water availability. This, combined with good opportunities for grape exports and the budding vintners have given boost to the agricultural sector in the district," Nair said.

The bank also gives educational loans for higher education, within the country as well as abroad.

Nair informed that the maximum loan limit for studies in India was up to Rs 7.50 lakh while for studies abroad, it was Rs 15 lakh.

One year after completing studies or six months after getting a job, repayments will begin. However, for educational loans upto Rs. 4 lakh, there will be no need of guarantors.

Of Rs100 crore agri loan target, agri loans amounting to Rs 50 crore have been distributed to farmers in the first quarter of the current fiscal year. In the last fiscal, a target of Rs 53 crore agri loans had been achieved in the district.

The bank has 24 branches in Nashik district with 12 agricultural officers.

In the current fiscal, the bank is targeting 600 Dena Kisan Gold credit cards out of which, 228 cards amounting to Rs 8.73 crore have already been issued in the district.

Ryots get a good deal

To provide Rs 550 crore as loan to farmers this fiscal (2005-06)

Rs 100 crore to be distributed in Nashik district alone

To give 0.5 per cent interest rebate to farmers repaying loans promptly

Targets to issue 10,000 cards to farmers across the country this fiscal

Maximum loan limit for studies in India, Rs 7.50 lakh; for abroad, Rs 15 lakh