The National Bank for Agriculture & Rural Development (Nabard) has sanctioned financial assistance valued at Rs 854 crore under various schemes in Kerala during 2002-03.
A Nabard press release said the figure included refinance of Rs 308 crore under investment credit and Rs 349 crore under short-term production credit to various banks and financial institutions as well as Rs 197 crore given to the state government under the Rural Infrastructure Development Fund (RIDF).
While the number of projects sanctioned under RIDF during the year stood at 257, the major portion of refinance under investment credit has gone to the rural non-farm sector, especially the small, tiny and cottage industries.
In the farm sector, substantial portion of reimbursements were made to land development, minor irrigation, plantations and horticulture sectors, which is envisaged to bring 7,189 hectares of land under irrigation and watershed development programmes.
The Kerala State Focus Paper for 2003-04 prepared by Nabard has estimated the total credit potential of the state at Rs 11,603 crore.
As plantation and horticulture have a major stake in the state economy with 87 per cent of the total cropped area under them, the bank has suggested setting up of a separate department of horticulture, establishing an export promotion council, provision of good quality planting material, augmenting infrastructure in sericulture, marketing intervention by the state government and creation of appropriate post-harvest infrastructure.
