Credit Facilities to Minority Communities
The Reserve Bank of India (RBI) has issued a master circular to ensure that minority communities receive a fair and equitable portion of credit within the overall target of the priority sector.
Definition of Minority Communities: The circular defines minority communities and emphasizes the need for special attention to their credit requirements.
Special Cell and Designated Officer: Banks are required to create a special cell and designate an exclusive officer to oversee credit facilities to minority communities.
Advances under DRI Scheme: The circular outlines the guidelines for advances under the Differential Rate of Interest (DRI) scheme, which aims to provide credit at a concessional rate to minority communities.
Monitoring and Training: Banks are required to monitor the credit flow to minority communities and provide training to their staff to sensitize them about the needs of these communities.
Publicity: Banks are advised to publicize the credit facilities available to minority communities through various channels.
National Minorities Development and Finance Corporation (NMDFC): The circular highlights the role of NMDFC in promoting the economic development of minority communities.
Prime Minister’s 15 Point Programme: The circular emphasizes the importance of implementing the Prime Minister’s 15 Point Programme for the Welfare of Minorities, which aims to promote the welfare of minority communities.
Annexure IV: The circular includes Annexure IV, which provides details on the credit flow to minority communities.
Chat with the Master Circular:
Download: Master Circular- Credit Facilities to Minority Communities