'Extend credit support to Tsunami-hit'

Major thrust must be placed on extending credit support for new investments to replace lost and damaged assets such as boats, fishing nets due to the tsunami," said Prakash Bakshi, chief general manager, Nabard, in a seminar held on state level credit 2005-06 organised by Nabard.

He said that banks could try joint liability group model for collateral-free financing of fishermen. Rural Infrastructure Development Fund could be given for repair or renovation of infrastructure under marine fisheries particularly landing facilities which have been severely damaged by the tsunami.

There is a need to coordinate with insurance companies to evolve a fair and user-friendly insurance scheme for life and assets of fishermen, he said.

About 13 districts, 345 villages and an estimated 1.23 lakh houses were damaged due to tsunami, according to the initial assessment made by Nabard.

Moving on to the irrigation sector in Tamil Nadu, he said that the potential linked credit plan prepared by Nabard has estimated Rs 434.16 crore for investments in minor irrigation for 2005-06.

Action plans will include introduction of drip and sprinkler irrigation in feasible horticulture and vegetable growing areas.

Efforts should be undertaken to resort drip and sprinkler irrigation for non- food crops such as groundnut, ginger, which account for 20 per cent of irrigated area, he added.

The other action plan will be to give thrust to groundwater development in conjunction with tank modernisation and rehabilitation programme in districts of Pudukkottai, Ramanathpuram, Virudhunagar, Sivaganga, Tirunelvi, Tuticorin and Kanyakumari.

Legislation for control in groundwater development has been brought about. However, urgent steps need to be taken to form the authority to notify and implement stipulations as may be necessary.