Karnataka based Kalaburagi-Yadgir District Central Cooperative Bank which is at a loss for the past few years will be able to wipe out all the losses at the end of the current financial year and earn a handsome profit.
Talking to Indian Cooperative in detail the bank Chairman highlighted its future goals to scale newer heights and improve the financial position of the bank.
“I had taken over the charge as President last year in January and the net loss of the bank was Rs 54 crore. Neither Nabard nor Karnataka State Cooperative Bank was giving refinance to the bank. But now we are able to get the refinance as well as we will be able to wipe out all the losses at the end of the current FY”, claimed its Chairman MLA Rajkumar Patil Telkur to Indian Cooperative on the phone.
He further added that when I had taken over the charge the bank had to recover over Rs 350 crore from the borrowers, and in the span of 50 days, we were able to recover around Rs 133 crore and at present almost all the amount has been recovered. In the current financial year, we have given Rs 500 crore interest-free loan to the farmers”, Telkur informed.
Highlighting the financial achievement of the bank, the Chairman said, “At present, the business mix of the bank is more than 1000 crore and has a network of 10 branches. We will open 10 more branches in the next financial year. When I took over the charge, the bank net NPA was 17 percent and in the last financial year i.e. 2020-21 the net NPA came to below 10 percent”, the Chairman added.
Elaborating further Telkur said, “Recently the Karnataka Chief Minister Basavaraj Bommai had laid the foundation
stone of the new head office of the bank which will be spread across 65000 sq ft and will be a 5 storey building. The estimated cost of the project is Rs 25 crore and will be completed in 18 months.
In a bid to strengthen the Self Help Groups, we are identifying the SHGs and will sanction loans worth more than 300 crores at a reasonable rate of interest. Besides, we are also making a strategy to empower the dairy farmers of our district by providing a loan up to Rs 10 lakh at a 3 percent rate of interest for buying the cattle. Our plan is to increase the milk production from the existing 20,000 liters per day to 1 lakh per day in our district, said the bank Chairman who is said to be a close associate of the Chief Minister of Karnataka.
“We will also give an opportunity to the farmers to install solar pumps and to boost the 322 PACs associated with the bank, we will do their computerization sooner than later. At present we are identifying the PACs for giving support for the construction of godown under the government scheme”, Telkur said.
