The National Bank for Agriculture and Rural Development (Nabard) expects to expand its balance sheet by Rs 30,000 crore in 2012-13 on a pick-up in agriculture activity. It has sought Rs 5,000 crore more capital from the central government to support growth.
Chairman Prakash Bakshi said the balance sheet may cross Rs 2,10,000 crore by March 2013. It had expanded 14.6 per cent to Rs 1,82,075 crore in 2012 from Rs 1,58,872 crore a year ago. In 2009-10, it had grown 16.6 per cent to Rs 1,36,292 crore.
Market borrowings in 2011-12 were Rs 35,000 crore and Rs 34,747 crore in 2010-11.
The average cost of borrowings was 7.05 per cent in FY12, reflecting hardening of interest rates across the system. It had decreased from 6.83 per cent per annum during 2009-10 to 6.64 per cent per annum during 2010-11. Nabard has sought a capital infusion of Rs 5,000 crore in the medium term.