Sahakar Bharati leaders meet NABARD Chairman; raise co-op bank issues

Sahakar Bharati founder Member Satish Marathe and Ntl Gen Secretary Dr Uday Joshi met Nabard Chairman Dr Govinda Rajulu Chintala recently at his office and raised a host of issues related to the cooperative sector.

“Nabard Chairman Dr Chintalaji listened to our concerns very patiently and assured us to resolve the issues sooner than later. We had a very fruitful meeting. Besides, he was also very positive towards our demands”, Joshi said to the Indian Cooperative correspondent soon after the meeting.

Talking about the issues raised during the meeting Joshi said, ” There is a need to empower State Co-operative banks & District Central Cooperative Banks. They should be allowed to raise Share Capital through Public & Pvt placements. Formulation of a merger policy for DCCBs into STCBs should also be a crafter”, underlined Joshi.

The Sahakar Bharati leaders also discussed the issue of new Business plans for State Co-op Banks, DCCBs and PACS with the Nabard Chairman. “Provision of deposit insurance coverage to PACS should be made and they should be computerized and linked to the National Payment Gateway “, he added.

The meeting lasted more than one hour and a satisfied Sahakar Bharati delegation raised several issues plaguing the cooperative sector.

Earlier, addressing a cooperative conference, Nabard Chairman Govinda Rajulu Chintala said a fully technology-enabled cooperative banking eco-system and transition of half of India’s PACs into multi-service societies would act as a game-changer that would revitalize cooperative credit institutions in a big way in the country.

Chintala said cooperatives in rural areas need to be revitalized at the earliest as the collapse of the cooperative credit system will affect credit availability in rural areas. Pointing out that adoption of technology is vital, he said it is important for cooperative banks to unleash Core Banking Solutions (CBS), services for their customers. He said that NABARD has disbursed 211 crore from Cooperative Development Fund to enable cooperative banks to adopt the technology.