Eco Survey gung-ho on NRE remittances

PANJIM, MARCH 23
Supplemented by huge remittances from Goan emigrants working abroad, banks in Goa seem to be flush with funds.
For the last financial year (2008-09), the total bank deposits in Goa were Rs 26,057 crore, according to the Economic Survey (2009-10) presented in the Goa Assembly today. Of these, contribution of Non-Resident Emigrants (NRE) was Rs 4298.34 crores and domestic Rs 21758.70 crore.
This is an increase of Rs 5000 crore from the previous year (2007-08). Interestingly, NRE deposit was more in that year – Rs 4445.74 crore while the domestic share was 16629.91 crore. Last financial year, the per capita deposit was Rs 1.71 lakh.
The Economic Survey has revealed that as per the taluka-wise mobilization of deposits, nearly 80% of the deposits come from three talukas – Salcete, Bardez and Tiswadi.
It also says that in every five years subsequent to 1980-81, the total deposits in banks kept on almost doubling upto 2005-06 showing an annual average growth rate of around 20 %.
An important characteristic of bank deposits in Goa is the significant contribution from NRE which account for around 30% of the total deposits.
As for the banks, the number of banking offices which was 258 in 1980-81 has jumped to 530. Goa has an excellent network of banking facilities with the presence of almost all public sector and new generation commercial and private sector banks.
As on March 31 2009, there were 40 scheduled commercial banks and private banks with 380 branches including 152 in rural Goa. In the cooperative sector, there are eight urban cooperative banks with a network of 70 branches. The Goa State Co-operative Bank is the apex cooperative bank under a two-tier cooperative credit structure.
The estimated population covered per branch is 2869, the survey report says. There was a big jump in opening of banking offices between 1990-2000. It was 45% increase compared to 14% in the previous decade.
According to a study done, it has been found that opening of more branches should be encouraged in Sanguem, Sattari and Canacona talukas.
As for lending loans, the credit-debit ratio last year was 28.8 as the bank credits was to the tune of Rs 7500 crore.
For the current financial year, the advances have been quite slow compared to high targets set. This is particularly seen in industrial sector as half-yearly it was only 63.46 crore as against the annual target of Rs 366.67 crore. The reason given for this is effects of global meltdown.
In the service sector, disbursing loans has been quite good – Rs 611 cores half yearly against the target of Rs 981.86 crore.
The Economic Survey says that the overall achievement under annual credit plan of banks was 49 % which is almost double of that achieved in the corresponding period last year.