SBI Vijayawada advances up 45%

The Vijayawada zone of State Bank of India, with 187 branches spread in Krishna, West Godavari and Guntur districts, recorded an unprecedented Rs 3,596 crore advances, an increase of 45 per cent during 2005-06.

The zone's deposits went up by 12 per cent to reach Rs 2,776 crore during the same period. Profits in the zone too rose by 12.5 per cent for the period.

K S Subramanian, zonal deputy general manager, told Business Standard that Rs 2,268 crore advanced to the priority sector in the zone formed 62.3 per cent of the total advances (40 per cent as per the RBI norm), while loans to the agricultural sector amounting to Rs 1,114 crore formed 30.6 per cent of the total advances (18 per cent as per the RBI norm).

Farm loans were given under two categories. Under Kisan credit cards category, Rs 247 crore was given to 66,425 farmers and Rs 182 crore as crop loans. Farmers were also given a loan of Rs 74 crore, repayable after three years, under the investment credit plan called Kisan Gold Card.

He said SBI branches also gave Rs 236 crore housing loans to 5,600 people, Rs 138 crore as personal loans, Rs 58 crore to 11,146 self-help groups (SHG), each comprising 20 poor beneficiaries, Rs 3 crore to 349 weavers, Rs 35 crore as education loans to 1,386 students, and Rs 15 crore to 22-25 spinning mills in Guntur district.

Loans were also given to farmers to buy tractors, agri tools and equipment as well as for setting up dairy units and agri clinics, and for constructing cold storages and taking up contract farming.

Subramanian said the zone would pay complete attention to agriculture in 2006-07. It would rope in industrialists to construct warehouses for storing farm produce. Farmers of upland areas would be given liberal loans and encouraged to take up cultivation of horticulture and drip irrigation.

The zone, he said, would give a big helping hand to private people entering the dairy industry. In West Godavari district, farmers would be advanced loans to bring more acreage under oil palm cultivation.

The bank would help more rice mill owners to modernise their mills in Krishna district and lime kiln units in Guntur district, he said. In Vijayawada, the bank would increase its help to entrepreneurs in ageing Autonagar and give a facelift to it. The wholesale traders in the city were also among targeted groups.