The minister was replying to a question whether the Center would consider directing banks not to charge any penalty from accounts where the balance is below the prescribed minimum level.
Karad was on a two-day visit to Jammu Kashmir To review the implementation of various financial schemes in Union Territory,
The minister said that banks in J&K have done good work over the years and directed them to improve their performance on parameters where they are lagging behind the national average. “I have asked banks in Jammu and Kashmir to organize Saturday camps to bring the percentage of Jan Dhan Yojana accounts close to the national average. While the national average is 49,135 per lakh population, in Jammu and Kashmir it is 21,252 Is.”
“The credit-deposit ratio in Jammu and Kashmir is 58 per cent and I have asked them to increase it,” Karad said.
However, the minister expressed satisfaction that despite the difficult terrain, there is not a single village in J&K where it is not available. Bank Communications.
“Every village in Jammu and Kashmir has a bank correspondent within a radius of five kilometers,” he said.
The minister said that he has asked both public and private sector banks to increase their presence in Jammu and Kashmir.
Karad said that while J&K has a high number of bank branches and ATMs per one lakh population, there is a need to open more branches and ATMs as the union territory has a low population density compared to the rest of the country.
“Banks have promised to open 20 new branches by March 2023. Four of these branches were opened today while three new ATMs were also inaugurated,” he said.
Karad said the top focus areas were financial literacy and financial inclusion among masses Modi government,
“To create more awareness among the public about various loan We have sanctioned two vans for aspirational districts for schemes getting sick and Baramulla through NABARD, which will bear the cost of the drive for financial literacy in these areas,” he said.