DC Kma asks banks to help entrepreneurs

Deputy Commissioner (DC) Kohima Rovilatuo Mor (IAS) urged the bankers to be more forthcoming in helping qualified and eligible entrepreneurs through government sponsored schemes like PMEGP for promoting small enterprises and easing the problem of unemployment in the state.
The DC who is also the chairman of District Task Force Committee (DTFC) was addressing the first co-ordination meeting between DTFC on PMEGP and implementing banks for 2015-16 on January 29.
Requesting the banks involved to expedite the sanctioning of PMEGP loan proposals, he lamented the tendency to sideline government schemes by some financial institutions/banks.
While addressing the concerns of the banks regarding mounting NPAs and accumulation of bad loans with particular regard to PMEGP scheme, the DC advocated proper monitoring of the projects/units and periodic joint recovery exercises by implementing agencies and banks, assuring assistance and support from administration at any stage. 
Rovilatuo Mor also shared plans to hold a special session with all the beneficiaries so as to brief them thoroughly about the objectives of the scheme, and to impress upon them the importance and inevitability of proper investment and timely repayment of loan.
He also warned about the dire consequences in the event of defaulting, as it is no longer possible to take employment schemes for granted. While reminding the members not to show any signs of slackness on their part, the DTFC chairman reaffirmed that the wilful defaulters would not be allowed to go scot-free.
 Meanwhile, general manager (DIC) and member secretary of DTFC, A.Temjen Jamir presented the status report and highlighted the progress being made till date.
Jamir also informed all the members about the upcoming EDP training to be conducted by MSME at DIC from February 3 to 6. He also pointed out that joint recovery drive for bad loans should be initiated by the banks and for which implementing agencies are ever willing to fully co-operate, and also mentioned that DIC has assigned one officer and five subordinates specifically for the task.
The financial institutions/banks on their part highlighted some problems and constraints continually faced by them. It has been pointed out that unlike most nationalised banks where loan sanctioning authority rests with the respective branch managers, the case is not the same in the context of private banks where decision making is centralised and as such final decision on any important matter is taken by head offices located outside the state.
In addition, low CD ratio coupled with accumulating NPAs, non-repayment of loan by past beneficiaries, shortage of manpower/officers in most banks to carry out loan recovery drives and field visits apart from other procedural bottlenecks are factors that hamper smooth implementation of the scheme during the crucial stages of sanction, disbursal and recovery of loans.
The chairman further directed the branch managers and their representatives to submit updated status report of the respective banks to the member secretary by February 10 for preparing a consolidated report to be submitted to the chairman on or before February 15.
In the meeting, vote of thanks was delivered by the general manager DIC and DTFC member secretary A. Temjen Jamir and also attended by NKVIB executive officer Kethoneituo and president KCCI, Jabou Sekhose.