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Strengthening Agricultural Financing: ARDBs and PACSs Collaborate to Provide Farmers with Medium & Long-Term Loans

Union Minister of Cooperation Amit Shah's launch of the computerization scheme marks a significant step towards a digitally empowered cooperative sector, aligning with the vision of PM Modi's ‘Sahkaar Se Samriddhi.’

Shivam Dwivedi
Strengthening Agricultural Financing: ARDBs and PACSs Collaborate to Provide Farmers with Medium & Long-Term Loans (Photo Source: PIB)
Strengthening Agricultural Financing: ARDBs and PACSs Collaborate to Provide Farmers with Medium & Long-Term Loans (Photo Source: PIB)

Union Home Minister and Minister of Cooperation Amit Shah inaugurated a groundbreaking computerization scheme for the offices of the Registrar of Cooperative Societies (RCSs) and Agriculture and Rural Development Banks (ARDBs) across states in New Delhi today. The event witnessed the presence of Union Minister of State for Cooperation BL Verma, Secretary, Ministry of Cooperation, and various dignitaries. Shah emphasized the significant strides taken under the leadership of Prime Minister Narendra Modi, propelling the nation towards the realization of the vision of ‘Sahkaar Se Samriddhi’ (Prosperity through Cooperatives).

Amit Shah highlighted Prime Minister Modi's fulfillment of a longstanding demand by establishing an independent Ministry of Cooperation. Shah underscored two pivotal achievements during the Modi government's tenure: raising the standard of living for millions and establishing a robust system connecting people with self-employment through cooperatives.

Digital India Empowering Villages

Shah stated that the initiatives of Digital India and the Ministry of Cooperation, launched under Prime Minister Modi's governance, will form the foundation for prosperous villages and contribute to the development of India at the grassroots level. The schemes, with an approximate cost of Rs 225 crore, aim to enhance transparency and accountability, providing a platform for farmers to access medium and long-term loans.

Union Home Minister and Minister of Cooperation Amit Shah inaugurated computerization scheme for the offices of RCSs and ARDBs across states in New Delhi today
Union Home Minister and Minister of Cooperation Amit Shah inaugurated computerization scheme for the offices of RCSs and ARDBs across states in New Delhi today

Digitizing Cooperative Systems

Under the Digital India initiative, cooperation is extending to villages through digital means, modernizing the entire cooperative system. The computerization schemes for PACSs, RCS offices, and ARDBs, costing Rs 225 crore, are a testament to the government's commitment to enhancing the digital ecosystem in cooperatives.

Shah highlighted that in the past two years, the Modi government has worked diligently to enhance the digital infrastructure, starting with the computerization of 65,000 PACS, the Central Registrar of Cooperatives, district and state cooperative banks. The completion of the national cooperative database and the ongoing computerization of ARDBs and RCSs signifies the entry of the entire cooperative sector into the digital realm.

Shah emphasized the significance of the National Cooperative Database, providing accurate information at various levels - state, tehsil, district, and village. This comprehensive database will play a crucial role in filling informational gaps and facilitating the development of the cooperative sector.

Transforming Agriculture and Rural Development Banks

With the computerization of RCS offices, Shah noted that communication in local languages would become possible, addressing a previous lack of attention. The computerization of ARDBs is expected to significantly improve operational efficiency, accounting uniformity, transparency, and curb corruption. The government is contemplating linking all Primary Cooperative Agriculture and Rural Development Banks with national software by NABARD, further strengthening the linkage of various agricultural loans.

Empowering Farmers and Enhancing Efficiency

The Computerization Project of ARDBs aims to computerize 1851 units across 13 States and UTs, linking them with NABARD through Common National Software. This initiative, championed by the Ministry of Cooperation, aims to enhance operations, efficiency, accountability, and transparency through the Common Accounting System (CAS) and Management Information System (MIS).

Additionally, the computerization project targets reducing transaction costs, facilitating timely loan distribution to farmers, and ensuring real-time data access for improved monitoring and assessment of agricultural schemes.

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