Shivraj Singh Chouhan seeks faster credit for women, meets banks

New Delhi: Union minister for Agriculture & Farmers’ Welfare and Rural Development asked banks to address delays in loan approvals, paperwork and inadequate credit limits faced by rural . At a high-level meeting on (SHGs)-bank linkages in Mumbai on Thursday, Chouhan directed banks to strengthen coordination, train and sensitise banking officials and ensure faster resolution of problems faced by women seeking loans. He also directed the setting up of a helpline for SHG members facing difficulties in accessing credit.

The meeting, attended by representatives of the Reserve Bank of India, National Bank for Agriculture and Rural Development, NITI Aayog, the Department of Financial Services and other stakeholders, reviewed regional disparities and lending bottlenecks under the Deendayal Antyodaya Yojana-National Rural Livelihoods Mission (DAY-NRLM).

Chouhan also flagged the need for greater lending in poorer regions, saying banks should direct more attention toward areas where the need for institutional credit is greatest.

He specifically called on private-sector banks to participate in State Rural Livelihoods Mission and District Level Consultative Committee meetings, following complaints about their inadequate participation.

More than 10 crore rural women have so far been mobilised into around 92-93 lakh SHGs under DAY-NRLM, with banks extending cumulative credit of over Rs 13.67 lakh crore to these groups. The government is now targeting Rs 10 lakh crore in loans to SHGs and Rs 1 lakh crore to individual women entrepreneurs over the next five years.

Chouhan said around 3.5 crore have been created so far, against the target of six crore. The next phase, he said, would require bringing women currently earning Rs 30,000-50,000 annually into the Lakhpati Didi fold by helping them expand their incomes.

To ensure implementation remains on track, stakeholders will hold virtual reviews every three months and physical meetings every six months. The discussions will feed into the government’s agenda, focused on timely and adequate credit, individual enterprise financing and wider access to financial services.

Chouhan said women’s economic empowerment is central to the vision of a developed India and urged banks and officials to approach the programme with a stronger sense of responsibility and commitment.