PANAJI: Cooperation minister Govind Gaude said on Monday the state authorities has opted to permit combined societies to provide gold loans to their clients. He explained that the government will invent a strategy to give aid to borrowers using Non-Performing Assets (NPA).
Gaude held a meeting with chairpersons, managing directors and general managers of cooperative societies to explore a variety of topics about the sector.
Throughout the meeting, we discussed the reasons for rising NPAs in cooperative banks and also the way we could overcome the circumstance, ” the minister told reporters.
He explained that the authorities had introduced a one-time settlement (OTS) strategy for loanees, but it’s not profited many. “The government wishes to amend the OTS scheme. Throughout the assembly, there was a proposal to extend the cut off date for the plot to March 31, 2020, from 2015,” Gaude explained.
He explained that some individuals aren’t having the ability to repay their unsecured loans. “We need settlement involving the debtors and cooperative societies. Next time we’ll deliberate on the hints which were made during the meeting,” the ministry stated.
One other issue that was discussed was regarding the loans in which the creditors have expired or aren’t in a position to settle as a result of job reduction, Gaude explained.