Now the transactions of cooperative organizations will be done in cooperative banks only

- Antenna - Vivek Mehta

- 5 lakh accounts of co-operative societies being transferred to District Co-operative Banks of Panchmahal and Banaskantha within two to three months in their deposits Rs. 2000 crore has increased

Now all the financial transactions of the co-operatives should be done with and through the co-operative banks. A pilot project for this has been started in Banaskantha and Panchmahal districts of Gujarat. All cooperative societies shall open their accounts only in cooperative banks. Its members will also open their accounts only in cooperative banks. All their financial transactions will be done through cooperative banks. Union Minister of Cooperatives Amit Shah said that 'cooperation among cooperatives' i.e. 'cooperation among each cooperative' is necessary. As part of this project, all the approximately 5 lakh accounts in different banks of cooperative societies and institutions of Panchmahal and Banaskantha districts were transferred to District Cooperative Bank. Arrangements have been made to deposit the payment money received every Saturday from filling milk in the cooperative societies in the same accounts. As the milk money received after filling the milk in the milk cooperatives is deposited in the bank, an arrangement has been made to withdraw the money by swiping the card in the micro ATMs provided to the milk cooperatives. The money remaining in the savings account is considered as the law cost deposit of the bank. In the districts under the pilot project in two months, the law cost deposit will be Rs. 2000 crore has increased. Along with this, the district banks have also started giving credit cards to the members of the milk society in addition to debit cards. In case of urgent need of money between Sunday and Saturday, one can withdraw money using credit card. This credit card withdrawal amount is adjusted against their Saturday milking amount. So the financial burden of paying interest at the rate of 30 percent on the money withdrawn on the credit cards of private banks was also reduced. Only two percent interest has to be paid thus satisfying their urgent need of money. The rural masses will also be saved from the clutches of moneylenders with this system.

2038 micro ATMs have been distributed in the milk cooperative societies to carry out the pilot project of Gujarat more easily. As a result the number of members and deposits of co-operative banks will increase. The aid money given to the farmers by the central government will be deposited in the cooperative banks only. It will not be withdrawn.

Most of it is likely to be deposited in the savings bank. An interest of around three and a half percent will be paid on it. Thus the co-operative banks will have an increase in capital with low interest rates. In contrast, cooperative banks can increase their income by lending the same amount at seven to eight percent or ten percent interest. Co-operative banks will increasingly provide financial credit to the needy sectors, small entrepreneurs. Public-private sector banks are less keen despite the central government's continuous efforts to provide easy financing to small scale industrial units.