Trading volume of PSLCs up substantially: RBI
Kolkata, Aug 29 : The Priority Sector Lending Certificates (PSLCs) scheme is gaining popularity as the total trading volume of the platform stood at Rs 1,843.3 billion at the end of last financial year, up from Rs 498 billion in the previous year, the Reserve Bank of India (RBI) said on Wednesday.
The PSLCs scheme was introduced in April 2016 as a mechanism to incentivise banks which surpass their targets in lending to different categories under the priority sector.
"The PSLC platform saw active participation from all the eligible entities including Urban Cooperative Banks (UCBs) and Small Finance Banks (SFBs) during 2017-18. At end-March 2018, total trading volume of PSLCs was Rs 1,843.3 billion as against Rs 498 billion at end-March 2017," the central bank said in its latest Annual Report released on Wednesday.
In a manner similar to carbon credit trading, PSLCs allow market mechanism to drive the priority sector lending by leveraging the comparative strength of different banks.
Explaining the scheme, the apex bank said a bank with an expertise in lending to small and marginal farmers can exceed targets and derive benefits by selling the over-achieved credit target through PSLCs. Another bank that is better at lending to small enterprises can buy these certificates while selling PSLCs for micro-enterprise loans.
Among the four PSLC categories, the highest trading was observed in the case of PSLC general and PSLC small and marginal farmer with the transaction volumes being Rs 796.72 billion and Rs 696.22 billion, respectively, it said.
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Karnataka MLC Nazir Ahmed visits Ajman Ruler’s Court, Thumbay Medicity
Ajman, UAE: Karnataka Legislative Council member and Political Secretary to the Chief Minister, Nazir Ahmed, visited the Ajman Ruler’s Court and Thumbay Medicity, strengthening ties between Karnataka and the UAE.
At the Ruler’s Court, Ahmed met Sheikh Dr. Majid bin Saeed Al Nuaimi, Chairman of the Ruler’s Court, to discuss avenues for collaboration in healthcare, education, and research. He extended an invitation to Sheikh Majid to visit Bengaluru and proposed a future delegation of high-level officials from Karnataka to Ajman and Thumbay Medicity.
As part of the visit, Ahmed toured Thumbay Medicity’s state-of-the-art healthcare, medical education, and research facilities. Praising the institution’s achievements, he described it as a global hub for healthcare excellence.
Commending the efforts of Dr. Thumbay Moideen, founder and president of Thumbay Group, Ahmed acknowledged his role in establishing Thumbay Medicity as a leader in the field. “It is a matter of immense pride to witness Dr. Thumbay’s remarkable progress and the iconic achievements of Thumbay Medicity,” he said.
Dr. Thumbay expressed gratitude for the visit, emphasizing the importance of collaborations that benefit both the UAE and India. “This visit marks a significant milestone in strengthening our shared vision for excellence in healthcare and education,” he stated.
Thumbay Medicity in Ajman is known for its advanced healthcare services, cutting-edge medical education, and pioneering research. It continues to gain global recognition as a model for integrated healthcare and education.
