Credit Arrangements for Drought Prone Regions: Policy Prescriptions and Planners Relations

Gupta Ramesh

IIMA Working Papers from Indian Institute of Management Ahmedabad, Research and Publication Department

Abstract: IIM-A in collaboration with NABARD and Swiss Development Cooperation conducted a field study to identify policy options for rural credit in drought prone regions. A joint monitoring team for field study comprising of professionals from three institutions deliberated on the findings and suggested policy measures. A national seminar subsequently was organized to discuss the policy options. It included professionals and senior executives from Central and State government, Commercial, Cooperative and Land Development Banks, DICGC, ICRISAT, GICI, NFSCB besides NABARD. The paper in part one presents the original findings and part two the proceedings of the seminar. Further debate on the ideal contained herein will hopefully help in creating necessary bias in credit policy towards drought prone regions. The major contention of the paper is that a policy suitable for well developed region with generally uniform ecological conditions may not necessarily help in extending credit to small farmers in backward regions, in particular the dry regions. In view of poverty problems being much more complex and serious in dry regions, need for policy reform in credit can not be over emphasized though simultaneous changes in several other related policies will also be called for.

Date: 1983-09-01
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Persistent link: https://EconPapers.repec.org/RePEc:iim:iimawp:wp00554

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