Priority sector credit rises by 26.5pc in Karnataka

Bangalore: Commercial banks in Karnataka have performed extremely well in all the banking parameters in Karnataka during fiscal 2006-07. Under the priority sector the banks have paid out Rs 22,000 crore, a growth of 26.75 per cent compared to the previous fiscal. The areas the banks helped include crop production and investment credit to land development, minor irrigation, farm mechanisation, sericulture, dairy development, piggery and bee keeping. Under the farm sector, the banks could paid out Rs 13,388 crore during the year. The ground level credit flow to agriculture has increased from Rs 4,749 crore in 2003-04 to Rs 13,388 crore in 2006-07, recording a three-fold growth within three years compared to Centre''s stipulation of 100 per cent growth. The banking sector in the state has performed exceedingly well under all key parameters. For the present fiscal 2007-08, the SLBC aims to achieve 22 per cent growth in credit disbursal at Rs 26,829 crore.