Collector faults banks for not sanctioning loans to applicants

Visakhapatnam: Though the state government is giving priority to provide financial assistance to the jobless youth to start their units, the bankers are not cooperating to the state government schemes. Even the state government has been releasing the subsidy amounts to the banks for releasing of the loan component, the bankers are not considering the applications on various reasons.

During the past three fiscals as many as 10,537 units, with a value of Rs 44.64 crore, are still pending at various stages. Taking a serious note on the issue, the state government directed all the district administration to conduct ‘Mega Grounding Meal’ to ensure all the sanctioned applications must be grounded on November 12.

While reviewing the arrangements for the MGM (Mega Grounding Meal) at District Consultative Committee meeting here on Tuesday, collector Pravin Kumar said that all the bankers must cooperate to the applicants who applied for financial assistance from 2016-17, 17-18 and 18-19 (till date) under economic support and Aadarana schemes.

The Collector said that 10,537 units, with a value of Rs 44.64 crore were proposed. He expressed his dissatisfaction over the banks performance in sanctioning the loans. He pointed out that there have been variations in the targets and achievements of various bank branches in sanctioning of loans.

“The bankers are not showing interest to complete their targets. Though the government credited the subsidy amounts to the banks in 2016-17 fiscal, the bankers are still not sanctioning the loans,” Pravin Kumar pointed out.

He questioned the bankers why they are not sanctioning loans though the state government released subsidy amounts. The bankers are doing business with the subsidy and not sanctioning the loans to the youth, the Collector pointed out expressing his dissatisfaction.