National Bank for Agriculture and Rural Development 

Presented By:

Manu Potti

Sashwat mundhada

Smit Rathod

Vaibhav Jadhav

Mission

• Promote sustainable and equitable agriculture and rural prosperity through effective credit support, related services, institution development and other innovative initiatives

Genesis

• Set up on 12th July 1982by RBI under the recommendation of Committee to Review the Arrangements For Institutional Credit for Agriculture and Rural Development (CRAFICARD)

• A report submitted “felt the need for a new organisational device for providing undivided attention, forceful direction and pointed focus to the credit problems arising out of integrated rural development”

• It replaced the Agricultural Credit Department (ACD) and Rural Planning and Credit Cell (RPCC) of Reserve Bank of India, and Agricultural Refinance and Development Corporation (ARDC)

Subsidiaries

• NABARD has 3 fully owned subsidiaries:

NABCONS

• Engaged in providing consultancy in all spheres of agriculture, rural development and allied areas.

• Started with an authorized capital of Rs 250 million (US $5.75 million) and paid up capital of Rs 50 million (US $1.15 million)

NABFINS

• NABARD Financial Services Limited is a subsidiary of NABARD with equity participation from NABARD, Government of Karnataka, Canara Bank, Union Bank of India,Bank of Baroda, Dhanalakshmi Bank and Federal Bank

• It is a non-deposit taking NBFC registered with the  Reserve Bank of India and  shall operate throughout India

Rural Finance Intermediation

Developmental

• Institutional development

• Farm sector

• Non farm sector

• Financial inclusion

• Micro credit innovations

• Research and development

• Core banking solutions to Co-operative banks

Institutional development• Includes development of RRBs and Co-opratives

• Institutional Department has been initiating various programmes and initiatives for strengthening of cooperatives since 1982

• to attain our goal for evolving a sustainable Rural Financial System to enhance ground level credit flow to farmers and others in rural areas.

• As a part of capacity building initiatives, NABARD has decided to conduct training programmes for (i) the Board of Directors and (ii) Senior Managers/Branch Managers of State Cooperative Banks (SCBs)/District Central Cooperative Banks (DCCBs) in a structured and phased manner.

Farm sector

• Climate Change Adaptation (CCA)

• Farmers’ Club Programmes

• Subsidy administration of Government Sponsored schemes

• Policy Advocacy - Agri Insurance

• Sustainable and Participatory Management of Natural Resources (Watershed Development)

• Transfer of Knowledge, Skill and Technology ( 1. Farm Innovation and Promotion Fund (FIPF) 2.Farmers Technology Transfer Fund (FTTF)

• Kisan Credit Card

Non farm sector

• Rural Innovation Fund (RIF)

• Area Development Programme (Cluster Development Programme – (CDP))

• Marketing and Technology Support- (Rural Haat, Rural Mart, Exhibition, Melas..etc.)

• Support to Women

• Entrepreneur and Skill Development

Financial inclusion

• Indian economy in general and banking services in particular have made rapid strides in the recent past. However, a sizeable section of the population, particularly the vulnerable groups, such as weaker sections and low income groups, continue to remain excluded from even the most basic opportunities and services provided by the financial sector.

• Government of India constituted a “Committee on Financial Inclusion”

•  The Committee has recommended setting up of two funds - Financial Inclusion Fund (FIF) and Financial Inclusion Technology Fund (FITF).

Research and Development

• R&D fund (Rs. 50 crore.)

• provisions of the NABARD Act 1981

• Fund aims at acquiring new insights into the problems of agricultural and rural development through in-depth studies and applied research and trying out innovative approaches backed up by technical and economic studies.

• Research projects and studies.

• International, National and Regional Seminars/ Conferences/Symposia, Workshops, etc.

• Occasional Papers and cost of other publications.

• Providing training for personnel of constituent banks.

• Summer Internship Programme.

Core Banking Solution(CBS) to Co-operative Banks

• one of the biggest initiatives towards institution building, NABARD is facilitating the process of bringing the Co-operative Sector onto Core Banking Solution (CBS) platform

• total of 200 State and Central Co-operative Banks with 6792 branches from 1 6 states & 03 UTs of the country have joined “NABARD initiated Project on CBS in Co-operatives”

• The model followed in the initiative is Application Service Provider(ASP) model using the concept of cloud computing.

•  TCS and Wipro are implementing the ambitious project across the country.