Himachal Pradesh Chief Minister Thakur Sukhvinder Singh Sukhu directed the Himachal Pradesh State Cooperative Bank to formulate a one-time settlement (OTS) policy to facilitate its customers.
At a meeting held here on Wednesday with the bank’s Chairman Devender Shyam and Managing Director Shravan Manta, the Chief Minister instructed the bank to work together with NABARD and the Reserve Bank of India to develop a comprehensive OTS policy.
He said that this initiative was aimed at providing substantial succour to thousands of farmers, horticulturists, and other borrowers associated with the bank.
The Chief Minister said that the OTS policy would offer an opportunity to the borrowers of the bank to settle their outstanding dues at a discounted rate, thereby avoiding legal actions and improving their credit score after successful settlement.
The bank would also benefit as it would improve its overall financial health by facilitating recovery of non-performing assets and reducing long-pending debts, he added.
Sukhu stated that over 5,000 people would benefit from the OTS policy.
Similar instructions would be issued to Kangra Central Cooperative Bank and Jogindra Central Cooperative Bank to develop and implement OTS policy in the interest of their consumers, he added.