Assistance to Credit Co-operatives/Banks

Department of Cooperation, Government of Kerala > Schemes > State Plan Schemes > Assistance to Credit Co-operatives/Banks

Assistance to Credit Co-operatives/Banks

(Outlay: Rs. 4600.00 lakh)

The outlay is provided to make assistance to the Primary Agricultural Credit Societies for the following activities.

(a) Share Capital contribution to PACS for the promotion of Self Help Groups

View Rule

(b) Initial expenses for good working Self Help Groups under PACS / DCBs (`1000/group) except interest subsidy. View Rule

(c) Contribution towards Deposit Guarantee Scheme, which is meant to provide guarantee for the deposits made in credit societies and for attracting more deposits. View Rule

(d) State Contribution towards Welfare Funds constituted by Government by availing contribution from KSCB, KSCARDB, DCBs, Urban Cooperative Banks, PACS and PCARDB and borrowers for writing off the agricultural loans consequent on the death of loanees during the period of repayment.

View Rules

(e) Share capital assistance to PACS(View Rule) (Agreement) (Application Form) and Urban societies(View Rules), Urban Banks (View Rule), Employees credit co-operatives(View Rule) and assistance for revitalization of PACS/FSCB in the form of share, loan and subsidy on the basis of specific project. (View Rule)

(f) Incentive to the Self Help Groups promoted by PACS, SC-ST Co-operatives, Women Co-operatives which provides loans for paddy cultivation.

(g) Incentive to the PACS/FSCB/FSCS for providing short term agricultural loans than the previous year from its own fund subject to the condition that the rate of interest of such loans should not be more than the rate fixed by the Registrar of Cooperative Societies. (View Rule)

(h) An incentive in the form of grant to PACS providing loan assistance for paddy cultivation which is more than 20% of the total agricultural loan issued by the society in the previous year subject to a maximum of `25,000/- to each society in a financial year. (View Rule)

(i) Incentive in the form of grant for the purchase of Harvesting Machine, subject to the limit of 20% of the cost of the machine or `4.00 lakh whichever is less. (View Rule)

(j) Assistance to the Corpus Fund for providing interest free loan to paddy farmers as part of the food security programme. The amount will be used to provide interest subsidy. (View Rule)

(k) Assistance to reimburse the insurance premium paid by the cooperative institutions under NAIS/State Government on agricultural loans for paddy, disbursed at 0% interest on behalf of farmers.

(l) Assistance in the form of share, loan and subsidy to State co-operative Bank/ District co-operative Banks and PACS for computerization of the Banks/Core banking, installation of ATM facilities and up gradation of technology. (View Rules and Forms)

(m) Assistance to PACS for promoting Hi-Tech Farming/establishing green houses etc. The scheme will be implemented in association with Kerala Horticulture Mission / Agriculture Department.

(n) Assistance to District Co-operative Banks, Urban Cooperative Banks and PCARDBs, to strengthen their share capital base/ to increase the CRAR position of the banks.

(o) Assistance to reimburse the interest to the societies on loans for installing bio gas plants, solar plants in houses etc. (View Rule)

(p) Assistance to PACs for the promotion of agro processing units through SHGs promoted by the societies in the form of share and subsidy

(q) Share capital assistance to Agriculture Improvement Cooperative Societies subject to a maximum of `50000 per society

(r) Assistance for revitalisation of flood affected PACS

(s) Assistance to provide interest subsidy linked to market support to the farmers for cultivating vegetables in Vattavada , Kanthalloor, Munnar and Marayoor and other panchayaths in Devikulam block on a pilot basis to encourage cool season speciality vegetable cultivation.

(t) An amount of Rs. 1500 lakh is provided exclusively for the modernisation of credit co-operatives. Assistance for the modernisation of credit co-operatives including development of core banking solution, technology upgradation, hiring of national level IT experts, engaging national level IT institutes for technology support etc. A separate approval is to be obtained for the project. Incentive system to be introduced to attract all credit co-operatives to join the technology platform. State co-operative bank, District co-operative banks/Proposed Kerala Co-operative Bank and PACS to be part of the technology platform.

(u) Special Schemes for revitalisation of PACS in Flood affected districts of Idukki and Wayanad.

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