The Telegraph
Tuesday , February 18 , 2014
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House panel to monitor banks

Patna, Feb. 17: The Assembly today decided to constitute a special committee to look into distribution of loans in priority sectors.

Speaker Uday Narayan Chaudhary announced the formation of the panel after chief minister Nitish Kumar complained about the attitude of banks in the state.

Responding to a question of BJP MLA Achchudanand during the question hour, Nitish said: “The credit-deposit ratio has increased to 40 per cent but banks do not generally give loans to farmers, students and other priority sectors. I have been raising this issue at all state-level bankers’ committee meets. I think the House must keep tabs on banks.”

Nitish said the state government would continue with the policy to not to deposit the government money in banks that do not meet their target of giving credit in priority sector.

Earlier, the BJP legislators, including Leader of Opposition Nand Kishore Yadav, resisted the attempts of water resources minister Vijay Choudhary to answer Achchudand’s question. They claimed that the chief minister, who holds the finance portfolio, should give the answer.