cover image: Reserve Bank of India. Agricultural Credit Department. Statutory Report (Under Section 55 (I) of the Reserve Bank of India Act)

Premium

20.500.12592/nh7pm8

Reserve Bank of India. Agricultural Credit Department. Statutory Report (Under Section 55 (I) of the Reserve Bank of India Act)

1937

Our object however was not so much to sugest restrictions regarding the purpose of the loan as to point out the necessity of co-operative societies confining the major portion of their business to strictly short term finance to lessen the chance of the loans falling into arrears and of the society's ability to finance its members in the future being impaired by the freezing of its assets. [...] The practice of carrying on bad debts from year to year without any proper scrutiny of the extent of the losses likely to occur on the one hand and of large nominal provisions for bad debts out of unrealised profits on the other merely hides the real state of affairs not only from the public but also not unfrequently from those in charge of the movement. [...] We feel that several of the deviations from the orthodox banking path which have occurred in the co-operative banks and which have contributed to their present difficulties have been due to the lack of proper banking knowledge on the part of the staff and sometimes even of those entrusted with the direction of the movment. [...] The local officers of the Agricultural Department could then help the banks in (a) propaganda and education of the cultivators in the facilities offered for the financing of land improvment (b) assistance to cultivators in the preparation of suitable schemes for financing and (c) examination of the technical aspects of schemes submitted and inspection of 28subsequent progress after they had be [...] The noobservance of these principles has resulted in hampering the progress of the movement in some of the provinces and we strongly recommend them to the serious consideration of the various Provincial Governments.
commerce industry
Pages
78
Published in
India
SARF Document ID
sarf.100228
Segment Pages Author Actions
Cover
i-i unknown view
Frontmatter
i-2 unknown view
Chapter I. Introduction
3-5 unknown view
Chapter II. Various Agencies for Agricultural Credit
5-12 unknown view
Chapter III. The Co-Operative Movement
12-32 unknown view
Chapter IV. Co-Ordination with the Reserve Bank
32-41 unknown view
Chapter V. The Indigenous Bankers
42-44 unknown view
Chapter VI. Conclusion
45-47 unknown view
Appendix
48-72 unknown view

Related Topics

All