Disbursal of crop loans to aspiring farmers during the current kharif season is being delayed, thanks to technicalities relating to the pattadar passbooks (PPBs).

The government had issued new PPBs to over 50 lakh farmers in recent weeks, but the details of the previous loans obtained by the farmers are not mentioned in the new passbooks.

As a result, banks are said to be reluctant to disburse loans and insisting the farmers to obtain no-objection certificates from the banks in their vicinity for processing the fresh loan applications.

The State, during the recent meeting of the State Level Bankers Committee, has pegged the total loans in agriculture portfolio at Rs. 58,063 crore, Rs. 22,380 crore higher than the last year.

Of this, crop loans were estimated at Rs. 42,494 crore and the term loans constitute the balance Rs. 15,569 crore.

Senior officials admit that the disbursal has been “very slow” as the banks are keen on ascertaining the previous dues of farmers before taking a call on the quantum that should be disbursed during the current season. Leave alone the commercial banks, similar delays were reported in the district cooperative central banks and the apex bank, Telangana State Cooperative Bank too and the issue was taken to the notice of the National Bank for Agriculture and Rural Development (NABARD).

“The State Cooperative Bank officials informed us that disbursal of loans is being delayed due to technical issues,” a senior Nabard official told
The Hindu

Loans are being disbursed to such farmers whose credentials have been verified and banks are either verifying the details in case of doubt on their own or are asking farmers to secure NOC from their banks nearby so that the process can be speeded up.

A senior official said the current impasse is due to delays in operationalising the Dharani portal which will have comprehensive database of the land holders along with the details of the previous loans obtained on the lands.

“This needs a revenue side solution. Bankers will be given access to land records in Dharani along with loans related to the lands. The account of particular farmers along with dues will be displayed and the bankers can take a call,” he said. The official asserted that such minor irritants are natural in the “transition period” and the issues would be resolved sooner than later.

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