No fresh loans for defaulting farmers: Andhra Bank GM

Hyderabad, Aug 22 (INN): Andhra Bank General Manager C Duraiswamy on Friday made it clear that no fresh loans would be issued to the farmers who have defaulted in repayment of earlier loans.

Speaking to media persons on the sideslines of a NABARD programmes at Secunderabad Railway Station here, Duraiswamy said that the banks were not concerned with the assurances given by Andhra Pradesh or Telangana Governments on waiving off farm loans. He said that the governments could waive off the loans, but being commercial institutions banks could not do so. He said that the Reserve Bank of India has issued directions asking the banks to issue fresh loans only to the regular account holders and not the defaulters.

He also informed that the Andhra Bank has set a target of opening 6 lakh accounts in Andhra Pradesh and 4.5 lakh in Telangana State.