Telangana Deputy Chief Minister Mallu Bhatti Vikramarka has called for a collaborative approach to ensure timely and adequate credit flow to priority sectors as well as to promote financial literacy and digital banking in rural areas besides leveraging National Bank for Agriculture and Rural Development’s (NABARD) expertise for innovative financing models.
Credit potential of ₹1.63 lakh crore for agriculture
Mr. Bhatti Vikramarka, who is also the Finance Minister, said this at launch of NABARD’s State Focus Paper for 2025-26 that pegs the credit potential for priority sectors across all the 33 districts at ₹3.86 lakh crore, including ₹1.63 lakh crore for agriculture. The roadmap must be actively utilised by banks, financial institutions and policymakers, he said at the programme held in Hyderabad on Friday (February 14, 2025).
Challenge faced by rural communities
Underscoring the need for all concerned to work together to make Telangana a model State for agricultural innovation, Micro, Small and Medium Enterprises (MSME) growth and sustainable development, he said that despite technological advancements, access to finance remains a challenge for rural communities. Many small farmers and micro-entrepreneurs struggle with limited access to credit and digital banking services. Strengthening self-help groups and joint liability groups would help bring more rural entrepreneurs into the formal financial system. Digital banking and mobile-based credit solutions should be expanded in rural Telangana to ensure access to financial services, he said.
With a projected Gross State Domestic Product (GSDP) of ₹15.02 lakh crore, Telangana continues to be one of India’s fastest-growing states. It is growing at 14.5% and the per capita income has risen to ₹3.56 lakh, reflecting increasing prosperity of the people. However, true progress is in upliftment of farmers, MSMEs and rural communities, the Finance Minister said.
Agriculture sector, which despite being backbone of rural economy, is bogged down with multiple challenges of land fragmentation, erratic rainfall and rising input costs. The need is to extend watershed development programme to all districts facing water scarcity. Increasing subsidy support, improving access to finance and raising awareness among farmers about modern irrigation techniques is also important, he said.
Promote floriculture in Hyderabad vicinity
The Deputy Chief Minister urged NABARD to promote floriculture in the vicinity of Hyderabad, organic cultivation as well gradually convert agricultural pump sets to solar power pump sets.
Citing Malaysia’s robust oil palm industry, he said Telangana can replicate the success of Southeast Asian country with a focus on necessary infrastructure development , improving supply chains and strengthening Farmer Producer Organisations (FPO).
Support measures to enhance high-value crops
As support measures to enhance high-value crops such as mangoes, turmeric, chillies, and millets, Mr. Bhatti Vikramarka sought provision of cold storage and logistics infrastructure, strengthening of agri-export zones and farmers to be trained on global quality standards.
Telangana has 26 lakh MSMEs and NABARD can help their growth by developing clusters for better market linkages, extending affordable credit for working capital and expansion; and supporting women-led enterprises and self-employment programmes.
