New Delhi, Mar 13 (UNI) The government is considering formulating a policy for more loans to minorities and is in close contact with the IBA and RBI to ''iron out'' hurdles, Finance Minister P Chidambaram said today.
He told the Rajya Sabha during Question Hour that during the past two years of UPA rule, the total bank loans to Minorities in the priority sector were to the tune of Rs 45,490 crore as compared to Rs 34, 650 crore by the end of March 2004.
''We are convinced that more loans must be given to minorities.
We are engaged in very detailed and close consultations with the RBI and IBA,'' he said.
He, however, said there were some differences which would be ''ironed out'' through discussions and once these were removed, guidelines would be issued to the RBI.
Asked by members to elaborate on the nature of differences, the Finance Minister clarified that there were no differences of opinion but only ''differences in approach and perception''. He said he was confident that these would be removed.
He refused to give a time-frame, saying ''as early as possible''.
''Once we iron out the differences, we will arrive at a policy position,'' he said, adding that guidelines would be later issued to the RBI.
To a specific question about the government's assistance to the Mercantile Bank, the Finance Minister said the central government had no jurisdiction on an urban cooperative bank.
UNI
He told the Rajya Sabha during Question Hour that during the past two years of UPA rule, the total bank loans to Minorities in the priority sector were to the tune of Rs 45,490 crore as compared to Rs 34, 650 crore by the end of March 2004.
''We are convinced that more loans must be given to minorities.
We are engaged in very detailed and close consultations with the RBI and IBA,'' he said.
He, however, said there were some differences which would be ''ironed out'' through discussions and once these were removed, guidelines would be issued to the RBI.
Asked by members to elaborate on the nature of differences, the Finance Minister clarified that there were no differences of opinion but only ''differences in approach and perception''. He said he was confident that these would be removed.
He refused to give a time-frame, saying ''as early as possible''.
''Once we iron out the differences, we will arrive at a policy position,'' he said, adding that guidelines would be later issued to the RBI.
To a specific question about the government's assistance to the Mercantile Bank, the Finance Minister said the central government had no jurisdiction on an urban cooperative bank.
UNI
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