Banks are thinking twice before issuing loans to the self help groups, as off late the SHGs have developed a trend of not repaying the bank loans, said Zilla Panchayat President A C Nagaratna.
She was speaking after inaugurating an interaction programme with the bank managers, organised by the representatives of the various SHGs,under the income generation scheme of the Watershed Development Department in Kolar, on Wednesday.
She suggested that the bank managers should give loans to the SHGs only after all the essential security requirements are fulfilled. Office bearers of the self help groups should be changed once in every two years. Also, if an elected president continues for a long time in a SHG it can affect transparency of the organisation, she added.
Lapse
Moreover, the lapses in the implementation of the schemes , under the watershed development by the concerned officials is regrettable. Though the State government has sanctioned crores of rupees under this scheme the implementation of the project is not up to the mark, she observed.
Work should be made available to all under the watershed development programme. It is unfair to know that only a small number of people are benefitted by this project and that it is not reaching the required number., she said.
Moreover, such discrimination in the distribution of work has been found to be widespread in Srinivaspur taluk. I have received a lot complaints in this regard. The concerned officials should initiate approprite action inthis regard, she cautioned.
Progress
An ambitious project like the watershed development should help in creating a better environment in the rural areas of the country, she observed.
The various departments in the State government should devise projects that help in improving the economic status of the rural people and it should not be for the name sake, suggested Nagaratna.
The SHGs should use the loans taken from the banks in income generation activities and strengthen the economic base of the SHGs, said senior manager of Pragathi Rural Bank Hiremat.
