Financial institutions urged to expand to rural areas

Our Correspondent
Kohima, April 26 (EMN): Advisor for Horticulture and Border Affairs Mhathung Yanthan on Tuesday urged financial institutions in the state to expand their facilities in rural areas as there are still many unbanked blocks, and people in such blocks would be deprived of facilities.

He stated this during the inauguration programme of Northeast Small Finance Bank at High School Junction in Kohima.

He opined that a new bank branch being established indicates the growing economy.

 ‘Nagaland is one such classic example and there are a lot of good things happening in the state,’ he said and also added that the blooming entrepreneurs are also visible.

He stated that there are a lot of opportunities, other than government jobs in the state and termed Nagaland as a ‘land of opportunities’ with a lot of scope for economic growth. He stated that these are all possible because of accessibility of banking facilities.

Asserting that collateral issue is a challenge in Nagaland, being a tribal area- mortgage of land and property becomes a problem, however he exuded optimism that with the enactment of Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act the issue would be sorted out.

Meanwhile, the advisor told the youth in the state to emulate those coming from mainland India to do business and in this regard advised that the locals should compete with them, learn from them and be able to stand on their own by doing business.

Pointing out that banking sectors have come up to serve the people with facilities, he also advised the youth to take full advantage of the same to grow economically by being responsible and trustworthy in repaying, while he also appealed to the youth to be sincere, enterprising, passionate and hardworking.

Yanthan also urged bankers to make banking more accessible and simplified for the people to take up business as getting capital to start up a business is a challenge for many.

He also suggested for the banks to take up financial literacy and inclusion for the people, pointing out that Nagas are not financially literate but a growing economy that needs proper sensitisation.

‘There are over 20,000 self-help groups (SHGs) in the state and they start with big enthusiasm but in the course of time the enthusiasm subsides due to lack of handholding support from the  department/ agencies and banks,’ he said and in this regard he asked the bank to impart the banking and literacy skills to them.

Earlier, Chandan Pathak, zonal head of Northeast Small Finance Bank said the bank in Kohima is the second branch in Nagaland following Dimapur and it has easy landing services for the entrepreneurs and farmers to avail loan.