How is the financial health of primary agricultural credit co-operative societies (PACCS) in the country?
So many plans are being implemented for the well being of co-operative banks within the past 3-4 years. The Vaidyanathan committee appointed by the Union finance minister (FM) in 2004 made certain recommendations towards revitalising and recapitalising 3-tier co-operative institutions in the country, comprising state co-op banks, district central co-op banks, and the primary agricultural credit co-op societies (PACCS). These PACCS, numbering over 100,000, constitute an important outlet for credit delivery to farmers in remote areas. But many of them are suffering from a serious financial health crisis. Keeping this in mind, the Vaidyanathan committee had recommended various measures for them involving a sum of Rs 15,000 crore. The FM, in consultation with different states, finalised the implementation of the recommendation of the committees report two years ago. Beginning last year, the amount has to be exhausted over a period of three years. So far, 21 states have already joined the m
