Tarn Taran to get big share of Amritsar's annual funds

The annual credit plan of the newly-formed Tarn Taran district, for the fiscal year 2006-07, will come out soon.

It is expected to help bankers tap the district's potential as various developmental works are going to be started on a war footing.

The new projects includehospitals, government offices, hotels, and mega projects besides educational institutions. Punjab's Chief Minister Amarinder Singh had declared Tarn Taran Punjab's 19th district on June 16. Earlier it was a part of the Amritsar revenue district.

Amritsar district's annual credit plan for the fiscal year 2006-07, envisages disbursement of Rs 2,719.54 crore under priority sector lending, projecting a growth of 45.14 per cent as compared to last financial year, which included Tarn Taran. It is now likely that a major part of the amount would be shared with Tarn Taran.

Last year, total disbursement under priority sector lending by various banks was Rs 1,873.71 crore.

Punjab National Bank's Lead District Manager Shri Kant Sharma said, "With the formation of the new district, we have to work out a new modality for the overall development of the area. The plan would be prepared keeping in mind the packages for agriculture and SMEs announced by the finance minister."

Commenting upon the potential, Nabard's Assistant General Manager, JS Kalra said, "Tarn Taran is an agriculture-dominated area. There is immense potential for dairy, poultry farm and agro processing sectors. Also, there are chances that the focal point at Goindwal Sahib would be boosted with the formation of the annual credit plan."

Earlier in Amritsar, 36 banks including public, private, co-operative and regional rural banks were operating 436 branches, but the new Tarn Taran district has only 125 branches operated by 13 banks, besides one private bank "" Centurion Bank of Punjab.

In order to cash in on the district's untapped potential, many private and public sector banks would have to make their presence felt there.