Budgam| Deputy Commissioner Budgam, Athar Aamir Khan, Tuesday chaired the 96th meeting of the District Level Review Committee (DLRC) and District Consultative Committee (DCC) to review the banking performance and implementation of financial inclusion and credit-linked schemes in the district for the first quarter of the financial year 2026-27.
The meeting, held at the Conference Hall, DC Office Budgam, was convened by Lead District Manager, J&K Bank, Mohd Muzaffar.
The meeting was attended by Chief Planning Officer, Javed Ahmad Najar; Lead District Officer, RBI, Amit; Director RSETI, Imtiyaz Ahmad Khan; Chief Agriculture Officer, Farzana; Chief Horticulture Officer, Shafiqa, besides senior officers of various line departments and representatives of banks operating in the district.
Reviewing the district’s banking scenario as on June 30, 2026, the meeting was informed that total deposits in the district’s 104 bank branches stood at ₹6,025.36 crore, registering a year-on-year growth of 21.98 per cent from ₹4,939.36 crore during the corresponding period last year.
Similarly, total advances rose by 9.16 per cent to ₹5,838.30 crore from ₹5,347.98 crore, taking the district’s Credit-Deposit Ratio to 96.90 per cent, significantly above the benchmark of 60 per cent and reflecting healthy credit absorption in the district. The number of banks operating in Budgam has increased to 12 with the addition of one more bank during the year.
The meeting also reviewed the district’s asset quality and noted that the overall Gross Non-Performing Assets stood at 2.10 per cent, amounting to ₹122.81 crore. However, elevated NPA levels in certain banks were flagged, and the concerned banks were directed to intensify recovery efforts through all available mechanisms, including SARFAESI action, Lok Adalats and One-Time Settlement drives, before further expanding credit exposure.
Under Priority Sector Lending of the District Credit Plan (DCP) 2026-27, banks collectively achieved ₹446.29 crore against the first-quarter target of ₹2,662.65 crore, registering an achievement of 16.76 per cent. The total credit flow across priority and non-priority sectors stood at ₹872.52 crore against the annual target of ₹3,975.78 crore, recording an overall achievement of 21.95 per cent.
The meeting reviewed the performance of individual banks and directed those recording comparatively low achievements to take immediate measures to improve credit flow. Banks were reminded that the figures pertained to the first quarter against annual targets and were asked to accelerate lending and improve performance during the remaining quarters.
Progress under various government-sponsored schemes, including PMEGP, DAY-NRLM SHG Credit Linkage, Kisan Credit Card for Animal Husbandry and Dairy activities, and schemes pertaining to the Handicrafts and Handloom sectors, was also reviewed.
The line departments highlighted that the temporary suspension of the PMEGP portal had affected the timely sponsorship and processing of cases. The Chair directed all banks to dispose of pending cases under government-sponsored schemes on priority and strengthen coordination with the sponsoring departments to ensure timely sanction and disbursement of eligible cases.
The meeting further reviewed the Financial Inclusion Saturation Campaign under NSFI 2025-30. A total of 339 identified unbanked revenue centres in the district have been allocated among banks for coverage through bank branches, Business Correspondents and Digital Banking Units.
J&K Bank has been allocated 204 centres, followed by J&K Grameen Bank with 42 centres and State Bank of India with 38 centres. All banks were directed to confirm receipt of their allocated centres, submit branch, BC and DBU-wise action plans with clear timelines, and furnish fortnightly progress reports to ensure time-bound saturation.
Progress under Financial Literacy and Credit Counselling programmes was also reviewed. During the quarter, 197 camps organised through CRISIL Foundation reached 4,650 beneficiaries, while 118 camps conducted under Response Net reached 3,895 beneficiaries. Enrolments under various social security and financial inclusion schemes, including PMSBY, PMJJBY and APY, were also reviewed.
Speaking at the meeting, the Deputy Commissioner stressed the need for coordinated and sustained efforts by banks and line departments to enhance credit flow to priority sectors and ensure the effective implementation of government-sponsored schemes.
He directed the banks to improve their performance, expedite the disposal of pending cases, strengthen recovery mechanisms and ensure that the benefits of financial inclusion and credit-linked schemes reach all eligible beneficiaries across the district in a time-bound manner.
The Deputy Commissioner further emphasised the need for close coordination between banks and sponsoring departments to achieve the annual targets under the District Credit Plan 2026-27 and promote inclusive and sustainable economic development in the district.
