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NABARD – An Overall Overview - For aspiring candidates

 

NABARD – An Overall Overview - For aspiring candidates – for an examination or actually an interview. Purely as a General Guideline only.

Dinesh K Kapila

Some youngsters have been mailing / messaging on this issue. Seeking guidance and tips. Some consultants have also been requesting. Now normally in an interview the effort is more to present in a codified and consolidated manner your views and analysis. Hence this may help, rather than respond individually each time, which is an effort, I have consolidated my views. As a retired officer I do oblige individually but responding and modifying the list was a concern, plus the time required, hence I have consolidated it broadly. Aspiring Candidates / Coaching Centres and Consultants may edit and add / subtract on their own, this can be the base.  But kindly do your own research and read the Annual Report / Visit the website etc, this is just a listing out to enable the ease of absorption.  I again emphasise, do your own research and homework as changes do occur in in the form / structure of some products etc.    

1.      Poverty Alleviation and Development.

-          Consultant / Advisor to the GOI and State Governments as appropriate and within its ambit.

-   Maintaining a close liaison and coordination with the GOI / State Government / RBI and important stakeholders.

-          District Wise Crucial Nodes by way of DDMs to monitor the impact of credit and developmental interventions. and to contribute to the efforts for development.

-          Planner by way of State Focus Paper and PLPs (Potential Linked Credit Plans) for Economic Growth.

-          Launching Micro Credit Programmes (SHGs / JLGs) and Income Generation Training / Skill Development for the unreached segment.

-          Grant support for institutions promoting SHGs and JLGs.

-          NABARD  has the Reach through the varied institutions and programmes through the RSETIs, MEDPs and LEDPs – essentially Entrepreneurship / Self Employment driven programmes.

- Essentially has the institutional long term view and vision for the sense of direction and growth across regions and states, particularly rural India.  

- Repository  of knowledge and data / information on Rural India and credit institutions.

- Has an effective economic research team to monitor / evaluate / study the developments in regions and the effectiveness of its programmes. And to study indebtedness etc.

- Selective Support for Incubation Centres and the like at Agricultural Universities and Major Educational Institutions for encouraging Start Ups and Entrepreneurship

2.      Financial Inclusion.

-          Custodian we can so affirm of the Financial Inclusion Fund and Monitoring the impact. 

-          Developing Products for purveying grants to the Banking System to strengthen and upgrade the technological base of Banks and particularly RFIs and Financial Inclusion– CBS, Issuance of Rupay KCC Cards, Connectivity through Internet (Solar VSat), Financial Literacy Camps etc.

-          Grant Support for Financial Literacy Centres to CBs, Cooperative Banks and RRBs.

-          Developing Literature on GOI initiatives and the need for Financial Inclusion.

-          Reaching Out to the cross section of society, across Gender, Caste, Community etc. 

-          Training Support from NABARD for Business Correspondents and such initiatives for extending the reach of the formal Banking System.

-          Support to NGOs / PRIs / PACS and RFIs for initiatives such as Bank Sakhi, Financial Literacy etc.  

-          Promoting subsidiaries such as NABFINS and NABKISAN and NABSAMRUDHI for expanding the reach of credit coupled with development.

3.      Capacity Building for Agriculture Development.

-          Grouping Farmers for access to Knowledge Inputs through Farmers Clubs.

-          Exposure Visits of Farmers to Universities, Progressive Farmers etc.    

-          Initiatives on Farmers Producer Companies including grant support.

-          Supporting Seminars / Workshops focused on Agriculture Development as also Agriculture Universities and KVKs.

-  Developing close linkages with stakeholders and developing an index of costing of Agriculture investments.

-          Developing Concepts such as Wadi Development, Watershed Development.  Spring shed development.

-          Policy Interventions and Development with Stakeholders.

                                   -      Coordinating and Monitoring the PM Fasal Bima Yojna and other related initiatives. 

                    -     Supporting / Conceiving / Planning Climate Change Projects.

                   -     Holistic development of Agriculture in Tribal areas.   

4.      Developing Rural Infrastructure.

-  Support from the Rural Infrastructure Development Fund for Rural Infrastructure – Social and Agricultural Infrastructure - Roads, Bridges, Market Yards, Seed Farms, Drinking Water, Irrigation Projects, Precision Agriculture  etc.

-  Launched - NIDA – NABARD Infrastructure Development Assistance – An alternative product focused on State Owned Corporations as a supplement to the RIDF for commercial infrastructure such as warehouses etc.

- Assessing the need for particular projects district wise and sharing with Governments.

- Supporting Innovative low cost infrastructure projects for replicable initiatives through the Rural Infrastructure Innovation Fund.

- Liaison with the GOI for financial support to Large incomplete irrigation projects and also for micro irrigation projects.   

      5.      Rural Credit Institutional Development.and Supervision

              -  Focused Attention through the Institutional Development Department focused on  Cooperative Banks and RRBs. Supplemented by its Department of Supervision.

              - Capacity Building through Training Institutes such as BIRD and support to Cooperative Training Centres.

            -  Presence on the Boards of Cooperative Banks and RRBs and close assessment of results and policies.

           -  Initiatives such as the ODI (Organisation Development Initiative) and conceptualizing and implementing programmes to revitalize Banks through policy, grant, soft loan interventions.

-         Supervision of RRBs and Cooperative Banks and close liaison with the RBI for ensuring their functioning as effective banking entities and their compliance with existing statutes.

-        Effective knowledge support and sharing through its own training establishments for stakeholders across all hierarchies.

     6.   Refinance.

          - Maintaining products and funds catering to varied banking systems, both Long Term and Short Term, LT for CBs / SFBs and LDBs plus RFIs and MFIs, ST for CCBs and RRBs. Support is both for crop loans and investment credit.

        -  Refinance aims to enable smooth credit flow to be channelized to farmers for cropping needs and creating infrastructure at the field level.

         - Refinance is closely aligned with Institutional Development and Regional Analysis for ensuring growth with stability and equity across regions.   

    -  The Focus of refinance products is largely on the Small and Marginal Farmer.

    -  Rates of interest and quantum of refinance are linked to the priority at the national level.

    -  Promoting a subsidiary - NABCONS for supporting the development of projects, project reports and monitoring.    

  7.   Government Supported Programmes (GSP).                 

        - Essentially a pass through agency of the GOI and Monitoring Agency of the GOI.

        - Coordinating with Government Line Departments and Banks on ensuring smooth flow of the  sanction process of the products and lodging of claims etc.   

       - These are schemes which are focused (and it may change year to year) on Solar Lighting and Systems, Agriclinic and Agri Business, Support to the Dairy Sector, Small Ruminants, Warehousing, Grading and Packaging of Agri Products etc.

      - Support for Awareness Creation and Workshops for the developmental products of the GOI.

  8.  Government Social Sector Programmes.   

      - These are Government Programmes for Social Security such as the PMJJY, PMSBY, APY for ensuring medical security, compensating for death or accidents and ensuring pension in old age.

      - The PMJDY aims for inclusive financial inclusion of the unreached segment and for access to government grants directly by direct transfer.

      - These are partially self contributing schemes with support of the GOI.

     -  NABARD provides a platform to bring together the Insurance Companies and particularly the RFIs.

    - Monitoring is vested with NABARD for RFIs.  Coordinating with SLBC, CB’s etc is also a responsibility. 

    - Coordinating with Government and Banks for programmes such as MUDRA, Start Up India, Stand Up India.

RFIs Rural Financial Institutions

CBs Commercial Banks

RRBs Regional Rural Banks

CCBs Cooperative Banks

JLGs Joint Liability Groups

SHGs Self Help Groups

GOI Government of India

SFBs Small Finance Banks  

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