1. 23
PROCEEDINGS OF 110TH SLBC MEETING HELD ON 20.07.2007
AT BHUBANESWAR
The 110th SLBC Meeting of Orissa was held on 20.07.2007 at Bhubaneswar under
the Chairmanship of Shri V. K. Dhingra, Executive Director, UCO Bank and Chairman
SLBC, Orissa. Among others, it was attended by Shri P. C. Ghadai, Hon'ble Finance
Minister, Orissa, Shri A. K. Tripathy, Chief Secretary, Govt. of Orissa, Dr. R. N. Bohidar,
Addl. Chief Secretary-cum-Development Commissioner, Orissa, Shri S. P. Nanda,
Agriculture Production Commissioner, Orissa, Shri R. N. Senapati, Principal Secretary to
Govt., Finance Deptt., Govt. of Orissa, Shri G. Jagan Mohan Rao, Regional Director, RBI,
Bhubaneswar, Shri S. A. Kareem, Chief Gen. Manager, NABARD, Regional Office,
Bhubaneswar, Shri M. N. Rao, Chief General Manager, SBI, LHO, Bhubaneswar. The list
of participants is annexed.
"At the outset, Shri Dhingra, Chairman, SLBC expressed deep concern on
devastating flood that has affected innumerable number of people including the
livestocks and caused damage to the standing crops in some parts of the State, mostly in
Balasore and Bhadrak Dist and some people have lost their lives also. On his request, the
house observed one minute silence to give peace to the affected people/departed souls."
Then Shri A. N. Mohanty, Dy. General Manager, UCO Bank-cum-Convenor, SLBC
welcomed;
1. Shri P.C. Ghadai, Hon'ble Finance Minister, Orissa.
2. Shri V. K. Dhingra, Executive Director, UCO Bank & Chairman, SLBC, Orissa.
3. Shri A. K. Tripathy, Chief Secretary, Govt. of Orissa.
4. Dr. R. N. Bohidar, Development Commissioner, Govt. of Orissa.
5. Shri R. N. Senapati, Principal Secretary, Finance Department, Govt. of Orissa.
6. Shri G. Jagan Mohan Rao, Regional Director, Reserve Bank of India, Bhubaneswar.
7. Shri S. A. Kareem, Chief General Manager, NABARD, Regional Office, Bhubaneswar.
8. Shri M. N. Rao, Chief General Manager, State Bank of India, Local Head Office,
Bhubaneswar.

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In his welcome speech he expressed as follows :
● The 110th SLBC Meeting is held in such a time, when Orissa is witnessing
vibrant economic activities, Banks and other financial institutions are coping
with it. The investment climate is very conducive for the Bankers.
● The CD ratio of Banks in Orissa as of 31/3/2007 is computed at 79.51% which
is satisfactory.
● Under Priority Sector lending, as of 31/3/2007 the percentage of PS advance
to total advance is calculated at 58.31% which is satisfactory.
● Under Branch expansion programme, 134 numbers of branches have been
opened during the 2006-07, 7 no. of rural branches, 58 no. of semi urban
branches and 67 no. of urban branches have been opened.
● Under financing to WSHGs, the Banks have done well during 2006-07 and
momentum is maintained for this year also. It is worthwhile to mention that
our State ranked 1st position in financing WSHGs in eastern India and 4th in the
country.
● Under ACP, financing to Allied Sector under agriculture lending have been
improved to 90% which is praiseworthy.
● Lastly he prayed Lord Jagannath, the almighty to shower his blessing to us to
carry out all the programme assigned to Bankers as well as to officials of Govt.
line Department successfully.
Then he requested Shri V. K. Dhingra, Executive Director, UCO Bank and Chairman,
SLBC, Orissa to deliver his key not address.
Key note address by Shri V. K. Dhingra, Executive Director, UCO Bank and
Chairman SLBC, Orissa.
● The Executive Director, UCO Bank welcomed Shri P. C. Ghadai, Hon'ble
Finance Minister, Orissa and other dignitaries and participants to 110 th SLBC
Meeting. In his key note address Shri Dhingra remarked as follows :-
● It gives him immense pleasure to be amongst all in 110 th SLBC Meeting of
Orissa which deals with various Banking issues related to economic
development of Orissa.

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● The State of Orissa has witnessed considerable progress in different areas. As
Executive Director of UCO Bank and Chairman of SLBC, Orissa, he attended
110th SLBC meeting of Orissa for the first time and appealed all Bankers and
officials of Government line department to join hand in hand for the economic
development of the State.
● The Indian economy has been performing consistently well. The GDP (Gross
Domestic Product) grew at 9.4% during the fiscal 2006-07 as against 9.00%
during 2005-06. The manufacturing sector remained a key driver of the
industrial growth with a growth rate of 12.3%. The industries and service
sectors showed sustained growth of 10.2% and 11% respectively. The
agriculture sector showed a lower growth of 2.7%, hence financing farm
sector is to be given importance.
● The State is quite rich in mineral resources, long coastal line, plentiful inland
water, diverse forest wealth, plentiful ground water. Therefore, State
Government and Banks have got ample scope for development of industries
including SME and there is ample scope of lending to SME which has high
potentials for export.
● It is heartening to mention that investment of more than Rs. 4,00,000 crores
in Steel, Aluminum, Petrochemical and Power sector have been lined up and
lot of industries are coming up in next 10 years. Steel giant like POSCO &
Mittal Group of Industries are going to set up Steel Plant with an investment
of Rs. 52,000 crores and Rs. 40,000 crores respectively. The future of the
Orissa is in-fact bright and Orissa will be shining. The Bankers have great role
to play in financing in a big way in secondary and as well as tertiary sector.
● As a matter of fact, in the present scenario, lot of economic activities will
come up in view of large number of industries coming up which would
contribute immensely for the GDP growth of the State.
● The finances to SME sector under cluster based approach has to be given
priority as it offers possibilities of reduction in transaction cost and also
provide an appropriate scale for improvement in infrastructure and financing
SMEs and Agriculture should be the thrust area for all the Banks.

4. 23
● The State has low productivity in agriculture sector, despite the fact that the
goals of the doubling of Agriculture Credit have been accomplished in right
earnest by the Banks within 2 years i.e. as of 31/3/2006, the Banks in Orissa
have been able to achieve doubling target one year prior to the time given by
Govt. of India.
● There should be improved farm technology, diversification of crops,
diversification of traditional agriculture to hi-tech agriculture and commercial
agriculture. Banks have great role to play in financing agriculture, the primary
sector of the economy as 85% people of the State depend upon agriculture
for their livelihood. There should be replacement of hybrid seeds in variety of
rice, wheat and vegetables to increase the crop productivity in the State.
Banks have to finance Horticulture, Pisciculture and Animal Husbandry sector
on priorities. The financing under various Pisciculture schemes such as (1)
Development of Freshwater Aquaculture, (2) Development of Brackishwater
Aquaculture, (3) Development of Waterlogged areas, (4) Integrated
Development of Inland Capture Resources (Reservoirs/Rivers etc.) as
approved by Govt. of India is to be given priority. So that mission of Hon'ble
Chief Minister of Orissa regarding doubling of Inland Fish Production in the
State be accomplished within 5 years.
● As most of the farmers belong to small, marginal or landless category. Banks
should finance more and more on group lending either in Joint Liability Groups
(JLG) or Tenant Farmer Groups (TFG).
● The performance of Banks under ACP 2006-07 as on 31/3/2007 is 110% of
the target which is quite satisfactory.
● On year to year basis, taking into account the National Scenario of hike of
interest rates number of times and slackening of credit growth, the deposit of
Commercial Banks have grown by 28.70% and advances by 25.09% which is
satisfactory.
● The overall CD ratio stands at 80% against the National Parameter of 60%.
The Priority Sector advances of Commercial Banks to Total Advances of
Commercial Banks is 56% as against the National Parameter of 40%. So the
Bankers and Govt. line Department deserve appreciation for this.

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● It is learnt that Orissa has received the long awaited sanction from the Center
for setting up of its first Private Software Technology Park (STP) at
Bhubaneswar. All Bankers should now come forward to avail this opportunity.
In the process of globalization, IT sector of our country is growing
tremendously but in Orissa this sector is not developing as compared to other
States.
● In view of the present scope for industrial development in Orissa, the Bankers
have got a major role to play in financing under Education Loan also.
● The SC and ST population represent the most backward and disadvantaged
group in the society. The credit flow to SC/ST sector is to be increased as their
concentration constitute 16.5% and 22.1% of the total population respectively
as per 2001 census. There should be a concrete plan of action by Banks and
Government Department to develop this segment by financing more and more
for their self employment and generations of income.
● The SHG Bank linkage programme is a major plank of the strategy to deliver
sustainable finance services to the poor. Financing to Women Self Help
Groups under Mission Shakti of Govt. of Orissa is gaining momentum with an
objective of holistic empowerment of women. Orissa has Self Help Groups of
more than 20 lakhs of women who have banked more than Rs. 500 crores of
rupees. Orissa is in the path of progress and prosperity.
● For Policy Makers, Planner, Financial Inclusion has emerged as a top priority
lately. Hence, the Financial Inclusion is the need of the hour. Financial
Inclusion of the Ganjam District taken up by SLBC during last year has
achieved a great success. In the second phase SLBC, Orissa has taken up five
districts i.e. Cuttack, Puri, Nayagarh, Rayagada & Keonjhar for 100% Financial
Inclusion.
● The Financial Inclusion has become a major concern, bringing therefore, the
need of development strategies that covers all sections of the society. Access
to finance specially by the vulnerable sections of society is a pre-requisite for
economic growth.
● It is very important to understand whether Financial Inclusion is a social
responsibility or business opportunity. Initially it may achieve the objective of

6. 23
social responsibility but in long term it is an investment to tap business
potential.
● He appealed to all Bankers/Govt. line Department present here to accomplish
the task of completion of Financial Inclusion of Five Districts taken up by SLBC
by September 2007.
● Financial Inclusion in India is an enchanting dream, a dream that we alone
can fulfill. He quoted the words of Martin Luther King Jr.
● "A dream of equality of opportunity, of privilege and property widely
distributed; a dream of land where men will not take necessities from many to
give luxuries to a few; .....a dream of a nation where all gifts and resources
are held not for ourselves alone but as instruments of service for the rest of
humanity; the dream of a country where every man will respect the dignity
and worth of the human personality."
● Last but not the least, He once again appealed Bankers and dignitaries from
the Govt. line Department to work hard jointly to make this State very
progressive and prosperous in the economic map of our Country.
Then Dy. General Manager, UCO Bank requested Hon'ble Finance Minister, Orissa to
deliver his key not address
Address by Shri Prafulla Chandra Ghadai, Hon'ble Finance Minister, Govt. of
Orissa.
● While expressing pleasure in associating with SLBC and participating
the deliberations relating to various employment generation
programme and poverty alleviation programme of the State
Government which has been implemented by Banks and reiterating the
call of Shri V. S. Dhingra, Executive Director, UCO Bank to look forward
in all activities concerning to Banks and Govt. line Deptt. for all round
development of the state, he expressed as follows -
● The most important task before Bankers as well as the official of Govt.
line Deptt. is how to rehabilitate the flood affected people by assisting

7. 23
them and to engage themselves in various income generated activities
with liberal dose of Institutional credit & there by restore the economy
of the state.
● During the recent heavy flood as many as 858 villages covering
13,20,870 no. of Persons & 12,07,061 hectares of cropped area in 12
districts i.e. Balasore, Bhadrak, Kendrapara, Jajpur, Keonjhar,
Mayurbhanj, Angul, Ganjam, Kandhamal, Koraput, Nayagarh &
Sundargarh Dist of the State have been seriously affected. There has
been also loss of human life and live stock population and quite a good
no. of dwellings have been damaged which necessities huge relief and
rehabilitation operations and also liberal extension of production and
Investment credit by the Banks including reschedulement and
rephasement of Agriculture & other credit to the farmers/people of
flood affected areas to revive the economy of the State. He requested
Regional Director, RBI, CGM, NABARD, Regional Head of the Bank
present in the meeting to take necessary steps for extending liberal
production and investment credit in the flood affected areas.
● He requested Bankers not to insist upon recovery of agricultural loans
in those areas affected by flood till next cropping season.
● There has been good progress in extension of credit to agriculture &
allied activities which has been doubled by the end of 2005-06 and the
progress under various sector under ACP is reasonably satisfactory.
This should not make us complacent as the initial level of finance of
Agriculture and other areas of priority sector was very low.
● He laid emphasis in increasing the flow of Institutional credit to
Agriculture and allied activities, Small & Medium Enterprises (SME) and
Small Scale Industries, all of which are high potential for Income
generation & key to economic growth.
● As regards financing Small & Medium Enterprises he reiterated the call
of Union Finance Minister to double it by 2010.
● He observed that as percentage of SSI advance to total advance is
only 7.20% and the percentage of SME Advance to total Advance is

8. 23
only 12.98% as of 31/3/07 which necessities increasing thrust on
extension of credit to more & more number of units under small scale
industries and small & medium enterprises.
● He impressed upon the Bankers to extend credit to the more number
of units under SSI & SME sector by covering under CGTSI scheme.
● As the Handloom sector occupies key position in the economy of Orissa
in providing income and employment to sizeable rural population, he
exhorted upon the bankers to increase the flow of credit to Handloom
Sector for which NABARD refinance is available for the working capital
requirement of primary weavers co-operate society.
● For improving financial inclusions in the state he expressed that Banks
should open more number of No Frill Account and provide General
People Credit and as during the year 2006-07, Banks in Orissa have
opened 223452 No Frill Accounts and Issued 16580 GCC.
● He expressed that private sector Banks i.e. ICICI Bank, HDFC Bank,
Centurian Bank, Fedral Banks, Vysya Bank etc although are mobilizing
large amount of deposit in the state, their participation in employment
generation programme, poverty alleviation programme extension of
credit to Agriculture & Small & Medium Enterprise sector is not upto
mark. Hon'ble Finance Minister observed that in spite of fact that the
matter has been discussed in earlier SLBC meeting, no improvement
had been noticed till date.
● He once again exhorted upon all the representative of the private
sector Banks present in the meeting to participate actively in the
programme of state govt., failing which govt. may consider to decline
it dealing with those Banks.
● He congratulated the commercial Banks for having achieved the
growth of CD ratio to 74.37 as of 31/03/07, at the same time he
advised the some of the Banks such as Allahabad Bank, Canara Bank,
Central Bank of India, Corporation Bank, Indian Overseas Bank, PNB
and Vijaya Bank to improve the CD ratio as stipulated by RBI .

9. 23
● He expressed that the percentage of Agriculture advance to total
advance as of 31/03/07 stood at 19.7% which is no doubt a good sign
for the state. Some of the major Banks like Andhra Bank, Bank of
Baroda, Bank of India, Central Bank of India have to increase the flow
of credit to Agriculture sector to improve the percentage of Agriculture
advance to total advance.
● Regarding DRI Advance, he expressed that the percentage of DRI
advance to total advance by the Commercial Banks as of 31/03/07 was
only 0.3% which is far below the National Parameter of 1% of the
previous year outstanding advance and expressed concern for the
banks having nil DRI advance. Banks have to achieve 1% of total
advance under DRI. Still 39.90% of people in state are remained below
the poverty line, Banks have to lend more under DRI.
● Lastly he expressed that Banks have to play a key role for developing
the economy of the state and assured Bankers to render all co-
operations from the Govt. side to look forward for the development of
the State.
Address by Shri G. Jagan Mohan Rao, Regional Director, Reserve Bank of
India, Bhubaneswar.
While expressing concern for the flood stricken areas of the state he remarked
as follow :
● As a steps for undertaking remedial measures special DCC meeting at
Bhadrak and Balasore district already been held on 10.06.07 and
13.06.07 respectively. Relief measures have been extended by the
Banks.
● A small committee will visit the flood affected districts of Bhadrak &
Balasore to verify the relief measures extended by Banks.
● There is no necessity for holding special SLBC for the purpose because
DCC meeting already held to take care of the situations and if
necessary, special DCC may be held much before the quarter ending of
those Dist. and relief measures can be extended.

10. 23
● Regarding non-participation of private sector Bank in priority sector
Advance, a meeting of private sector Banks was held and they are
advised to submit the correct data sector-wise to RBI and SLBC.
Consumer loans and Personal loans are mostly extended private sector
Banks. Out of 28 items of private sector lending, 8 items are given by
them and those banks have to participate according to priority sector
guidelines.
● The percentage of Agriculture Advance to total advance stood at
19.60% though exceeded the 18% of stipulation (i.e minimum level),
it does not mean that bank should stop lending to Agriculture sector.
Bank must continue to lend to the sector whenever there is a scope of
Agriculture finance.
● In fact doubling of Agriculture credit takes place within 2 years in
Orissa, he emphasized that Banks should give Investment Credit to
increase Credit Absorption Capacity of the farmers in the State.
● He urged upon the Govt. line Deptt. to give list of pending applications
under Agri-Business activities for various Banks, Branch Wise so that
necessary steps can be taken for the disposal of those application.
● As there is lack of enthusiasms by the farmers to take up new crops &
to increase the credit absorption capacity, he emphasized the role of
State Govt. official in extending extension services through their
Agriculture extension Officer, Animal Husbandry Extension Officer etc.
He also suggested that if Govt. corporation gives guarantee for
repayment of loans in a straight way, Bank may give loans to the
eligible farmers.
● 100% Financial Inclusions of Pilot Project of Ganjam district has been
achieved by the Banks. In second phase five districts i.e Cuttack, Puri,
Nayagarh, Keonjhar & Rayagada had been taken up for financial
inclusions and Bankers are spending few lakhs of rupees in
campaigning through Doordarshan & All India Radio as a programme
of financial education to the vulnerable section of the society.

11. 23
● With the help of Dist. administration captioned programme has been
kick started and survey of financially excluded villagers have been
undertaken. Financial consultant has been appointed by SLBC and
Banks in Orissa are sharing all the expenses in connection with the
programme.
● He emphasized for door step Banking. Earlier people are coming to
Bank for opening of Account, now Bankers are going door to door,
requesting them to open a bank account with no cost, even the cost of
photograph is being borne by the Bank. He desired that No Frill also
can be opened in large number for reaching goal of financial inclusion
in Orissa.
● Regarding achievement of financial inclusions he requested all the
Govt. officials and Bankers to take it as a Mission. All the 100% eligible
people are to be included in banking fold for inclusive growth.
● Financial inclusion is not only opening of Bank Account, all the Banking
facilities is to be extended to the poor people with no cost or at an
affordable cost.
● He urged upon the Bankers to take up Gajapati Dist. having sizeable
population of minorities for 100% financial inclusions. The
methodology followed in the five districts will also be followed in
Gajapati Dist.
● An outside agency will be appointed by the RBI to verify whether the
100% financial inclusion have been achieved or not.
● He emphasized that the decisions of SLBC is to be followed up
meticulously to yield desired result.
● The Banks may lend SHGs consisting of SC/ST members & physically
handicapped beneficiaries under DRI finance for increasing flow of
credit to DRI Beneficiary.
● Regarding Education loans extended by Bank, he expressed that no
body should be deprived of higher studies for want of money.
Regarding sanction of Education loan, apart from Engineering /

12. 23
Medical / Professional studies Banks have to sanction Education loans
to other studies also.
● As far as Orissa is concerned, one notable feature is that workable
coordination exits between the Govt. & the bankers & he urged the
Animal Husbandry Deptt. & Fisheries Deptt. to give more Bankable
scheme to be financed by Banks.
● He told that under RIDF, apart from constructing infrastructure like
Road & Building, the funds can be utilised for technological Parks,
Computerization Programme, Animal Husbandry Development Scheme
and other programme also.
Agenda Item No. 1
The Proceeding of 109th SLBC Meeting held on 14.03.2007 at Bhubaneswar is
taken as confirmed.
Agenda Item No. 2
ACTION TAKEN REPORT
1. Under performance to SME sector, the Banks as a whole in Orissa have
achieved 185% of the target which is praiseworthy.
The performance of SSI & ME sector to the Net Bank Credit as of 31.03.2007 was
7.20% and 5.78% respectively required to be improved. The Banks which have
adopted the cluster should chalk out concrete plan of actions to extend credit
under cluster based approach & Govt. may extend infrastructure support and to
develop the cluster for increasing flow of credit under cluster approach. The Banks
which have not adopted the cluster must adopt the clusters identified by state
Govt. as well as by the Directorate of Handicrafts & Cottage Industry and
Directorate of Textiles and Handloom Deptt. Govt. of Orissa. The base of SME
financing in 2005-06 was very low, the Bankers are requested to adopt as many as
cluster as possible where there is large area. In view of large industries coming up,
on the basis of existence of small & medium Enterprises, Govt. of Orissa has
identified locations such as Cuttack, Bhubaneswar, Paradeep, Kalinga Nagar,
Berhampur, Rayagada, Sambalpur, Jharsuguda, Angul & Dhenkanal for financing
under cluster approach.

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The major Banks operating in Orissa may set up specialised SME branches in that
location to increase the credit flow to SME sector. It has been decided to set up at
last one SEFC (Small Enterprise Financial Centre) branch in Orissa, Preferably at
Kalinga Nagar by SIDBI.
Action :- Banks, Industries Deptt., Govt. of Orissa, SIDIBI
(02) Banks should finance more & more to MSME (Micro, Small, Medium Enterprise) unit
& take coverage under CGTSI scheme which help the entrepreneurs to avail
collateral free loan upto Rs. 25 lakhs which includes REGP (Rural Employment
Generation Programme). It was observed that the average loan size covered under
the scheme is Rs. 1.55 lakhs which was less than all India average of Rs. 2.48
lakhs. So it is necessary that all Banks should make considerable efforts to cover
high loan size under CGTSI scheme as coverage available upto Rs. 50 lakhs as
reported by SIDBI.
Action :- Banks, KVIB, KVIC, SIDBI
1. 100% Final Inclusion of Pilot Project of Ganjam Dist. was achieved by SLBC as
reported by the Andhra Bank having lead district responsibility and SLBC announced
100% Financial Inclusion of Ganjam Dist. before the House.
The meeting on implementation of Financial Inclusion of five districts i.e. Cuttack,
Puri, Nayagarh, Rayagada & Keonjhar was held on 24.04.07 and 01.06.07. The
minutes of both the meeting were placed before the SLBC & ratified. Banks, Govt.
line Department and all concerned were requested to the implement the decisions
wholeheartedly for implementation of Final Inclusion in a Time Bound Programme.
Action :- Banks, Govt. Line Deptt., RBI
2. As regards establishing Entrepreneurship Development Programme (EDP) training
Institute, UCO Bank will set up (EDP) training Institute at Puri very soon. All other
Banks which have not yet opened such Institute should open the Institute without
further delay. Most of the Banks find it difficult to set up the Institute of their own.
Till opening EDP Institute by Banks they may utilize the services of IED (Institute of
Entrepreneurship Development).
Regarding allotment of land to RUDSETI, it was advised by Hon'ble Finance
Minister, Orissa to Authorities of RUDSETI to meet Secretary, Industry and
Chairman IDCO to sort out the problem.

14. 23
Action :- Banks, Industries Deptt., Govt. of Orissa, IED, RUDSETI, IDCO
3. The Special Certificate Courts at five district Centres i.e. at Cuttack, Bhubaneswar,
Berhampur, Sambalpur & Roukela will be started functioning very soon as opined by
Revenue Deptt. Govt. of Orissa in the house.
Action :- Banks, Revenue Deptt., Govt. of Orissa
1. As regards Waiver of Stamp Duty, Revenue Deptt., Govt. of Orissa had
decided that Banks have to deposit 50% Stamp Duty at the time of filing of
Certificate Cast and rest 50% will be deposited at the time of final order. The
circular of Revenue Deptt., is to be sent to SLBC for circulation amongst the
Bankers. Bankers have to follow the same while filing the Certificate Cases.
Regional Director, RBI requested the Hon'ble Finance Minister to reconsider the
Waiver of Stamp Duty while filing. Certificate Cases before the Certificate Officer.
Action :- Banks, Revenue Deptt., Finance Deptt., Govt. of Orissa.
(07) Regarding Implementation of the UP pattern of Recovery Act, a small committee
already constituted would submit report to the Govt. for doing the needful.
Action :- UCO Bank, SBI, Revenue Deptt., Govt. of Orissa.
(08) The Banks operating in Orissa have to finance Handloom Sector on Priorities with
emphasis on Individual Finance. The Banks have to adopt the clusters identified by
Handloom Deptt. as well as clusters selected by Directorate of DH & CI, Govt. of
Orissa.
Action :- Banks, Govt. Line Department.
1. On request of SLBC, RBI has extended the OTS (One Time Settlement Scheme)
for small Borrwal account which was approved by SLBC upto 31/12/07. The
eligible Banks may take advantage of it.
Action :- Banks.
2. As the parting of District wise data by LDMs of all 30 districts of Orissa could not
be done till date with correct data, it was decided that District wise data will be
complied in a simplified format by LDM, DSWO and DDM/AGM of NABARD with
their joint signatures for authenticity of the Data. The Dist. wise data will be
submitted to Mission Shakti Department as well as to SLBC from March 2005
onwards on quarterly basis.
Action :- LDM, DSWO, NABARD, Banks, SLBC

15. 23
3. As regards financing Two wheelers to "GOMITRA", it was decided that viability of
the scheme is to be approved by the small committee consisting of representative
NABARD, UCO Bank, SBI, & Bank of India & Animal Husbandry Deptt. Animal
Husbandry Deptt., Govt. of Orissa is requested to send the captioned scheme to
SLBC for doing the needful
Action :- NABARD, UCO Bank, SBI, Bank of India & Animal Husbandry
Deptt., Govt. of Orissa
4. Under State Employment Mission, Banks have to participate wholeheartedly with
sincerity and have to achieve the target set to them for 2007-08.
Action :- Banks, State Employment Mission
(13) The list of farmers to hold KCC are to be supplied by Agriculture Deptt. to Banks at
Block level has been a long outstanding issue in SLBC Meeting. It was decided that
Banks operating in Block may collect the list of farmers to hold KCC from Block
Development Officer. Co-operation Deptt. may submit the list of farmers who have
not yet issued KCC to BDOs at Block level.
Action :- Banks & Govt. line Deptt.
Agenda Item No. - 3
Fresh Issue
A) Issue raised by Reserve Bank of India
a) Setting up of Credit Counseling Centres on Pilot Basis.
As per Annual Policy statement for the year 2007-08, "FINANCIAL LITERACY CUM
CREDIT COUNSELING CENTRE" is to be set up on PILOT BASIS in any one of the district
of the State.
It has been decided to set up Credit Counseling Centre at Balasore by UCO Bank
on PILOT BASIS. It is the responsibility of the lead Bank of the District to set up such
centre in each dist.
Action :- UCO Bank, SBI, Andhra Bank, Bank of India
b) Review of Rashtriya Krishi Bima Yojana.

16. 23
The Banks must implement the National Agriculture Insurance Scheme (NAIS) or
Rashtriya Krishi Bima Yojana in letter & spirit, for coverage of crop loans as per co-
operation Deptt. Govt. or Orissa resolution number III-CR-17/2007Co.op, dated
09.05.2007. There should not be any gap between the crop loan disturbed and crop loan
insured. The Coverage of Insurance may be made available to Kharif Sugarcane /
Agriculture Deptt./Co-operation Deptt., was requested to kindly look into the matter.
Action :- Banks, NAIS, Agriculture Deptt./ Co-operation Deptt., Govt. of Orissa.
Issue raised by RBI, Central Office, Mumbai
c) Credit Flow to Micro, Small and Medium Enterprises Sector
Annual Policy Statement 2007-08 announced by the Governor advising Banks to
review their institutional arrangements for delivering credit to the SME sector, especially
in identified clusters in various parts of the country. (Extract of the paragraph is - The
definition of small scale industry and Small Business Enterprises for the purposes of
inclusion in priority sector has been changed in alignment with definition adopted in the
Micro, Small and Medium Enterprises Development Act, 2006. Further, in order to
improve credit delivery to SMEs, Banks are urged to review their institutional
arrangements for delivering credit to the SME sector, especially in identified clusters in
various parts of the country, and to take measures to strengthen the expertise in and
systems at branches located in or near such identified clusters with a view to providing
adequate and timely credit). List of clusters identified by United Nations Industrial
Development Organisation (UNIDO) for Orissa is given below;
Cuttack Cuttack (Jagatpur) Engineering & Fabrication
Cuttack Cuttack Spices
Dhenkanal Dhenkanal Powerloom
Ganjam Ganjam Powerloom
Ganjam Ganjam Rice Mills
Koraput Koraput Rice Mills
Puri Puri Rice Mills
Sambalpur Sambalpur Rice Mills
Banks operating in Orissa should step up credit to Small & Medium Enterprise
under cluster approach.
Action :- Banks, Govt. line Deptt.
d) SJSRY (Swarna Jayanti Sahari Rojgar Yojana)

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1. SJSRY (Swarna Jayanti Sahari Rojgar Yojana) which aims at providing gainful
employment to the urban poor people must be implemented by Banks in letter
and spirit.
The State level Monitoring Committee for focused approach towards SJSRY in the
model suggested in Govt. of India (Found in details in page 79 in Annexure X of
Agenda Notes) may be constituted in our state to over see the programmes of
SJSRY in Orissa.
Action :- Urban Deptt., Govt. of Orissa, SUDA, Banks
B) Issue raised by NABARD
a) National Bamboo Mission - Development of Bamboo Sector in Orissa.
2. For development of Bamboo Sector in Orissa, Banks may finance to this sector
to increase the Bamboo Production in the State. The details of Bamboo
Mission has already been circulated in the SLBC Meeting held on 20.07.07.
Action :- State Bamboo Mission, Banks
b) Financing of Handloom Weavers Groups - Provision of Short Term
Refinance Facility to SCBs/DCCBs - Policy for 2006-07.
3. The guidelines for financing Handlooms Weaver Groups (HWGs) is already
circulated in the SLBC Meeting held on 20.07.07. For RRB and Co-operate
Bank refinance is available from NABARD, so they may take opportunities in
financing HWGs.
Action :- OSCB, RRB, Banks, Govt. Line Deptt.
c) Jatropha cultivation in the Southern districts of Orissa - Allegation
against Orissa Nature Care Council Pvt. Ltd.
The financing banks may be cautioned to take appropriate care in selection of
promoting/sponsoring agency prior to finalising tie-ups for Jatropha cultivation with
particular reference to their reputation, past experience, financial position, permanency
local presence, ability to provide sound forward and backward linkages, technical &
managerial competence, etc. The banks may also be advised to make themselves
convinced by the yield & income projections made by the sponsoring agencies and they
should ensure about the technical feasibility, financial viability and bankability of such
proposals before financing.
Action :- Banks, Govt. line Deptt. & NABARD

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C) Issue raised by Panchayati Raj Department, Govt. of Orissa.
4. SGSY scheme is to be successfully implemented by the Banks. Banks have to
achieve the physical as well as credit modernisation target for the financial
year 2007-08. No applications should be kept pending beyond reasonable
period beyond 15 days at branch level. Banks have to achieve the national
target of credit subsidy ratio to 3 :1. Where farm pond has been taken up in
large numbers in land owned by SC/ST family under NREGA for providing
sustainable livelihood Individual Finance under SGSY may be provided with
assets to utilise farm pond, for cultivation of vegetable, oil seeds & pulses in
Rabi season.
Action :- Govt. line Deptt., Banks.
D) Issue raised by the Director of Agriculture and Food Production, Orissa,
Bhubaneswar.
5. While financing crop loan under "B" component, instead of cash, kind
components like seeds, fertilisers & pesticides may be made compulsory
through Govt. Sale Centres located at various level mostly at Block and is
mostly applicable to co-operate Bank.
Action :- Banks, OSCB & Govt. line Deptt.
E) Issue raised by the Director of Handicrafts & Cottage Industries, Orissa,
Bhubaneswar.
6. To promote Handicraft Sector, SHGs promoted in Handicrafts & Cottage
Industries Sector in Clusters should be Credit linked with Banks and each Bank
operating in the area should adopt the cluster which will provide employment
to the people in KBK & Non KBK Dist.
Action :- Banks, DH & CS, Govt. Of Orissa
E) Issue raised by the Orissa Schedule Caste & Schedule Tribe Development
Finance Cooperative Corporation Limited.
a.The scheme of Self Employment Scheme for rehabilitation of Manual Scavengers (SRMs)
has been circulated in the SLBC Meeting and it has been decided to finance the scheme
to rehabilitate all the remaining scavengers and their dependants by March 2009 through
the Bank.

19. 23
Action :- Banks, OSCSTDFCC Ltd.
Loan finance to SC/ST Self Help Groups under Bankable IGS & loan finance to
Scavengers engaged on Hazardous Works.
b.To increase the Credit flow to SC & ST sector, the Bank may finance to SC/ST Self Help
Groups under Bankable IGS & Scavengers engaged in Hazardous works. The Banks may
expedite submission of UC immediately & may take steps for disbursement of pending
applications without further delay. The Banks should achieve the target under SC & ST
sector the year 2007-08. SC/ST population constitutes around 38% of the total
population of the state and credit flow to SC/ST sector in our state is the need of the
hour & Banks should implement the scheme of OSCSTDFCC LTD. with all sincerity and
dedication.
Action :- Banks & OSCSTDFCC Ltd.
F) Issue raised by the Orissa Khadi & Village Industries Board,
Bhubaneswar.
a. The guidelines for implementation of REGP in respect of adjustment of margin
money of KVIB should be scrupulously followed by Banks. As per guidelines of
REGP. Those margin money are to be kept in Term Deposit Receipts for two
years and the same shall be adjusted in favour of entrepreneur after
successful implementation of the project.
Action :- KVIB, KVIC, Banks
G) Issue raised by Revenue & Disaster Management Department, Govt. of
Orissa.
(14) Land Pass Book is a novel scheme introduced by the State Government w.e.f
26.01.2006 with aim to distribute Land Pass Book to all the individual land holding
families in the state. The programme is being implemented successfully all over the
state.
(a) After a thread bare discussion on the issue, it was decided that Land Pass Book has
a potential to be useful tool as it provides full informations at one place not only
about the borrower but also about the family member. Therefore the Banker can
take advantages of the scheme.

20. 23
(b) Bankers may also explore the possibility of the checking the Land Pass Book
mandatorily for every land based loan to be sanctioned after 1.4.2008.
(c) It is also clarified that Land Pass Book can not be a mortgageable document.
Action :- Banks, Revenue Deptt., Govt. of Orissa.
H) Issue raised by UCO Bank, Convenor, SLBC, Orissa.
a) Special Housing Loan
(15) As a matter of facts, good number of Special Housing Loan turned NPA, the Banks
have to list out the name of the DDOs (Drawing & Disbursing Officers) of the
various Govt. Department who are not deducting the installments for remitting to
the Bank branches for crediting into loan a/c and the name of those DDOs is to be
sent to Finance Deptt., Govt. of Orissa, so that Govt. may take necessary steps in
this regard.
Action :- Banks, Finance Deptt., Govt. of Orissa
b. Recovery in Govt. sponsored Schemes
1. Under major Govt. sponsored programee i.e. SGSY & PMRY, the recovery
positions of 31/12/2006 beings 34.14%, 18.08% respectively was very poor.
Banks and Govt. Department may have joint strategies to improve the
performance of recovery for better recycling of funds. Govt. would render all
possible steps to improve the recovery in Govt. sponsored scheme. In case of
misutilisation of assets by the beneficiaries under Govt. sponsored schemes
like PMRY, they will be booked & will be punishable.
Action :- Banks & Home Deptt., Govt. of Orissa.
c. Recent happening Flood in Orissa
1. In flood stricken districts Banks are requested to extend Relief Measures as per
RBI guidelines. Necessary loans are to be provided to farmers/others for raising
crops and other source of livelihood.
Action :- Banks & Govt. Line Deptt.
Agenda Item No. 4
Banking Key Indicator as on 31.03.07

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The CD ratio of Public Sector Banks such as Canara Bank, Corporation Bank, State
Bank of Hyderabad, State Bank of Mysore, Vijaya Bank and Private Sector Banks such as
Rajasthan Bank Ltd., South Indian Bank and Centurian Bank, has been less than 60% as
of 31.03.07 which is a matter of concern for the State. The CD ratio has to be improved
by all the Banks. Except Canara Bank, Indian Overseas Bank, Punjab National Bank,
Syndicate Bank, none of the Banks have achieved National Parameter of DRI advance.
Rest of the Banks which have not achieved the National Parameter under DRI are
advised to achieve the National Parameter of DRI, i.e. 1% of total outstanding advance
of the previous year.
The CD ratios of the Districts have been improved. LDMs of Deogarh, Gajapati,
Malkangiri, Nuapada and Sambalpur should take all possible steps to improve their CD
ratio. The percentage of P.S. credit to total advance as of 31.3.07 have been declined on
year to year basis. Banks have to improve their Priority Sector or Advance.
Action :- Banks mentioned above/all Banks/ LDM of Deogarh, Gajapati,
Malkangiri, Nuapada, Sambalpur
Agenda Item No. - 5
Recovery
The overall recovery position as of 31.03.07 is very poor. The percentage of
recovery of IRDP/SGSY and PMRY as on 31.03.07 were 36.25% & 20.01% respectively
requires improvement. Government machinery were requested to render adequate help
and assistance in organizing recovery camp to improve the performance of recovery for
better recycling of funds. Bankers express concern for the low recovery which will stand
as a barrier for credit growth in the state.
Action :- Banks / Govt. line Deptt.
Agenda Item No. - 6
Review of Performance under Annual Credit Plan as on 3.103.07
Under ACP, financing to Allied Sector under agriculture lending have been
improved to 90% which is praiseworthy. The performance of the district like Ganjam,
Jagatsinghpur, Nayagarh, Puri require improvement. The LDMs of the concerned district
should take all possible measures to improve the performance of their district under ACP
2007-08.

22. 23
LDMs should take a note that credit flow to agriculture and allied sector, SSI &
SME. SHGs, REGP under KVIB & KVIC are to be enhanced to a considerable extent in
their districts.
Action :- Banks & LDMs Govt. line Deptt.
Agenda Item No. - 7
Under doubling of Agriculture Credit as on 31.03.07, the achievement being 113%
for all Banks was satisfactory. Although the doubling of Agriculture came to end by
31.3.07, as decided in Steering Committee Meeting of SLBC held on 18.07.07, Banks will
continue to submit the statement to SLBC as before to boost Agriculture Finance in the
state and for review & monitoring of agriculture credit by Banks. The targets have been
circulated which will be monitored on quarterly basis. The Private Sector Banks which
have not yet started lending to Agriculture sector, should come forward to lend the
primary sector to boost the economy of the State.
Action :- Banks & Pvt. Sector Bankers.
Agenda Item No. - 8
Review of Performance under PMRY & SGSY
It is worthwhile to mention that, the performance of Banks in implementation of
PMRY 2006-07 was quite satisfactory. As of 30.06.07, the percentage of disbursement to
target was 93% which was highest taking into account the performance of disbursement
to target in last 10 years.
SGSY schemes is to be successfully implemented by the Bank. Credit subsidy ratio
should be increased to 3:1 from 2.25:1 under SGSY during the financial year 2007-08.
Banks have to achieve the physical as well as credit mobilisation target. No applications
should be kept pending beyond 15 days at branch level.
Action :- Banks & Govt. Line Deptt.
Agenda Item No. - 9
Progress under SJSRY (Swarna Jayanti Sahari Rojgar Yojana)
Banks have to implement the scheme with all sincerities and dedication to uplift
the urban poor above the poverty line and target for 2007-08 under SJSRY has to be
achieved by each Bank operating in the State.
Agenda Item No. 10
Progress under Self Help Groups (Mission Shakti)

23. 23
During 2006-07, Banks have done a commendable job by credit linking good
number of WSHGs.
Banks operating in the state assigned with target of financing WSHGs during
2007-08 have to achieve the target and should give highest importance in financing
WSHGs for empowerment of women as our social objectives. Banks should take proactive
steps to increase the per SHG credit to Rs. 45,000/- as has been decided in the Meeting.
The Private Sector Banks may be entrusted with financing urban SHGs.
As the parting of Dist. wise Data by LDMs of all 30 districts in the State could not
be done till date, it was decided in the small committee meeting held on 12.07.07 under
the chairmanship of Smt. Usha Padhee, IAS, Director of Mission Shakti, Orissa that
District wise Data will be complied in a simplified format by LDM, DSWO & DDM & AGM
of NABARD with their joint signature for authenticity of the Data. The Dist. wise data will
be submitted in simplified format to Mission Shakti Deptt. as well as to SLBC from March
2005 onwards an quarterly basis.
Action :- Banks / Govt. Line Deptt.
Agenda Item No. 11
The performance of Banks under SC/ST/Scavenger/ITDA and financing under
REGP/KVIB/KVIC.
a) Banks should lend more & more to SC/ST borrowers so that there should be
adequate credit flow to SC/ST sector. The SHGs sponsored by OSCSTDFCC
Ltd./OSFDC under SC/ST/Scavenger should be financed by with utmost sincerity as
an objective of Increasing Credit Flow to Women as well as to SC/ST Sector.
Action :- Banks, OSCSTDFCC Ltd.
b) All the pending applications under KVIB & KVIC are to be disposed off at the
earliest. Banks have to follow scrupulously guidelines regarding adjustment of
margin money of REGP of KVIB/KVIC. Under KVIC, Banks should achieve the
quarterly target which has been circulated.
Action :- Banks, KVIC, KVIB, Govt. Line Deptt.
Agenda Item No. 12
Performance under SCC/ACC/KCC
The Commercial Banks have to Issue KCC to all eligible farmers. The performance
of Banks under ACC is not at all satisfactory. Against the annual target of 9200 ACC, the

24. 23
Banks have issued only 8301, under SCC the Banks have issued as 39226 SCC against
the Annual target of 59100 during 2006-07.
Banks were requested to take all possible measures to achieve the targets under
ACC & SCC for the year 2007-08.
Action :- Banks & Govt. Line Department.
Performance under Pisciculture
All the pending eligible proposals under Pisciculture should be sanctioned &
disbursed on priorities. Banks should sanction Short Term Credit just like crop loan in
agriculture to fish farmers to augment fish productions in the state. To fulfill the Mission
of Hon'ble Chief Minister, Orissa, Banks operating in the state to double the Inland fish
production (1.9 lakhs MT to 3.8 lakhs MT and triple the export i.e. Rs. 350 crores to Rs.
1000 crores in the coming 3 years i.e. by March 2010). The Banks operating in the State
may finance various Pisciculture scheme such as (1) Development of Freshwater
Aquaculture, (2) Development of Brackishwater Aquaculture, (3) Development of
Waterlogged areas, (4) Integrated Development of Inland Capture Resources
(Reservoirs/Rivers etc.) as approved by Govt. of India is to be given priority.
Action :- Banks & Govt. Line Department
Agenda Item No. 13
National Housing Loan, House Loan, Rural Housing Finance, Finance to Ex-
serviceman, Finance to Minority Community.
Under the above schemes, Banks have to improve their performance and correct
reporting should be made by Banks.
Agenda Item No. 14
Education Loan
In education loan, every bank to keep in mind the directions given by the Hon'ble
Union Finance Minister that :-
"No eligible student should forego higher education for want of money."
Banks should give priority to Education loan & finance more & more to this sector.
Agenda Item No. - 15
Progress under National Horticulture Board
To promote integrated development of Horticulture in Orissa Banks were
requested to dispose off the applications sponsored by 'NHB' as early as possible.

25. 23
Action :- Banks, Govt. Line Deptt., NHB
Agenda Item No. - 16
Final Inclusions
The SLBC has achieved 100% financial inclusions in Pilot Project of Ganjam Dist.
SLBC Orissa has to achieve 100% Financial Inclusions of five Districts i.e. Cuttack, Puri,
Keonjhar, Raigada & Nayagarh which were identified in April 2007 in a time bound
programme. The Gajapati Dist. dominated with Minority Community was identified in
SLBC Meeting for 100% Financial Inclusions.
To have access vast segment of population especially who are in the vulnerable
sections of the society, Banks should open No Frill A/C in a massive scale and also to
issue GCC under Financial Inclusions. The District Administrations may extend all possible
helps to open no frill account in a big way.
The methodology which was applicable to achievement of Financial Inclusions in
five districts will also be applicable to Gajapati District.
Under NREGS (National Rural Employment Guarantee Scheme), Banks are advised
to open No Frill Accounts of all beneficiaries on productions of Job Cards as a major
programme to fulfill the corporate goal of Banks under Financial Inclusions.
Action :- All Banks, District Administration.
The minutes of the meeting of the steering committee of SLBC held on 18.07.07
was placed and ratified by SLBC. Banks, concerned agencies, Govt. line Department were
requested to implement the decisions taken in the meeting.
Action :- Banks & Govt. Line Department.
At last Sri A. P. Chandra, Chairman, Kalinga Gramya Bank, proposed vote of
thanks to Shri P. C. Ghadai, Hon'ble Finance Minister, Orissa, Shri V. K. Dhingra,
Executive Director, UCO Bank & Chairman, SLBC, Orissa, Shri A. K. Tripathy, Chief
Secretary, Govt. of Orissa, Dr. R. N. Bohidar, Development Commissioner, Orissa, Shri S.
P. Nanda, Agriculture Production Commissioner, Orissa, Shri R. N. Senapati, Principal
Secretary to Government, Finance Department, Govt. of Orissa, Shri G. Jaganmohan Rao,
Regional Director, RBI, Bhubaneswar, Shri S. A. Kareem, Chief General Manager,
NABARD, Regional Office, Bhubaneswar, Shri M. N. Rao, Chief General Manager, SBI,
LHO, Bhubaneswar, Shri A. N. Mohanty, DGM, UCO Bhubaneswar & participants from
Government, other agencies and Banks who have spent their valuable time in 110 th SLBC

26. 23
meeting for taking very important decisions which will certainly support in a big way in
building of Modern Economically vibrant Orissa where a large chunk of people will have a
better living by taking up sustainable economic activities.
He requested Banks and Govt. line departments to make Govt. sponsored
programmes and SHG credit linkage successful. There should be adequate credit flow to
agriculture and SME sector.
All Govt. sponsored schemes have to be successfully implemented by the Banks in
Orissa with the assistance of Government line Department.
Adequate credit flow must be made to SC/ST Sector and there should be
enhancement of credit flow to Handloom and Handicraft Sector.
Banks and Govt. agencies should work in tandem for diversification of Agriculture
which would help the State for better employment.
"We transform vision to reality"
"Our Culture, Agri-Culture"