AP CM Naidu Urges Banks to Fund Renewable Energy and Support MSMEs

Stating that power distribution companies (DISCOMs) are also providing counter-guarantees, he urged bankers to take the initiative in providing loans to the renewable energy sector.

Presiding over the 233rd and 234th meetings of the State Level Bankers' Committee (SLBC) here, the Chief Minister underlined the need to ensure that no one in the state has to take loans from private individuals.

"Whether it's for agriculture or any other need, people should be able to go to banks and take loans. Bankers should work towards this goal," he said.

Naidu also called for providing loans on a large scale to the Scheduled Castes, Scheduled Tribes and Backward Classes to ensure progress of the underprivileged.

"As governments, we are doing what we need to do for the underprivileged... cooperation from the bankers is essential. The fruits of development should reach everyone. The disparities between the rich and the poor must disappear," he said

"We have estimated that there is a possibility of rescheduling loans worth Rs 2 lakh crore in Andhra Pradesh. So far, we have rescheduled Rs 49,000 crore. We were able to save Rs 1108 crore through loan rescheduling," he said

Chief Minister Naidu also revealed that the government intends to make the state capital, Amaravati, a hub for financial institutions. He noted that various financial sector institutions, including banks, are setting up their offices here.

Referring to the foundation stone laid recently for the offices of 15 banks, he said construction should pick up pace and be completed quickly.

He emphasised the need for strengthening Farmer-Producer Organisations on the lines of DWCRA groups.

Pointing out that 15 types of charges are being levied on DWCRA group bank accounts, he asked bankers to reduce these charges.

The Chief Minister instructed the bankers to provide greater encouragement to the MSME sector.

He asked them to give priority to MSMEs that support the weaker sections in businesses. The government and bankers need to stand as a strong support for MSMEs, he said.

He believed that with the encouragement of MSMEs, development can be achieved in all sectors.

Naidu said that the government is moving forward with the 'One Family - One Entrepreneur' policy and proceeding with plans to boost the service sector.

He claimed that the Central government is also ready to provide VGF for PPP projects.

It was revealed that various banks are providing support to those starting industries through Ratan Tata Innovation Hubs.

Representatives of Union Bank stated that their bank is supporting the Ratan Tata Innovation Hub headquarters in Amaravati.

Representatives of the respective banks explained that SBI and Bank of Baroda are supporting the Rajahmundry spoke hub, Canara Bank the Anantapur spoke hub, PNB the Visakhapatnam spoke hub, Indian Bank the Tirupati spoke hub, and HDFC Bank the Vijayawada spoke hub of Ratan Tata Innovation Hub.

- IANS