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‘Crop loan waiver will affect credit discipline’, says NABARD CGM

July 11, 2014 - Hyderabad

National Bank for Agriculture and Rural Development (NABARD) Chief General Manager Jiji Mammen said that no banking institution will support crop loan waiver. He said that it will affect the credit discipline.

The NABARD CGM said that it had a loan exposure of Rs.4, 600 crore to cooperative and rs.3, 300 crore to regional rural banks in the States of Andhra Pradesh and Telangana. If the same have to be converted to medium term loans if the waiver was to be implemented.

Mammen said that NABARD will adjust only up to 60 per cent subject to availability of funds while the remaining has to come from the State Government, District and State Cooperative banks.

Andhra News

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