Banks urged to implement financial inclusion strategy

A senior official in the Centre’s Department of Financial Services has urged banks in Telangana to actively implement the National Strategy for Financial Inclusion 2025–30.

DFS Director Manasa Gangotri Kata, who was addressing a meeting of the State Level Bankers’ Committee (SLBC) here on Friday, said a special focus, in implementing the strategy, should be on improving last-mile access and women-led financial inclusion.

It was recommended that at least 30% of Bank Correspondents be women to strengthen outreach and improve access in rural areas, State Bank of India, which is the SLBC convenor in Telangana, said in a release on the meeting. Ms. Kata also appealed to the banks to enhance direct benefit transfer (DBT) linkage, encourage regular transactions and improve overall PMJDY account usage and ensure reliable digital connectivity in rural and remote locations.

Banks are not only financial intermediaries but also key drivers of economic growth and social transformation, particularly in extending credit to vulnerable and underserved sections, she said, underscoring the need to intensify awareness campaigns on digital fraud prevention.

Presenting a report on the performance of banks in Telangana for the quarter ended December, SBI Hyderabad Circle CGM Sahadevan Radhakrishnan said the banks disbursed ₹2,64,168 crore to various sections of borrowers under Priority Sector, thereby achieving 68.05% of target.

Bank deposits in Telangana increased by ₹61,073 crore in the quarter ended December 2025 to touch ₹9,01,503 crore. Advances grew by ₹1,11,349 crore in the same period to reach ₹11,92,710 crore.

CD ratio continues to be above 100%. It increased from 130.18% to 132.3% during the quarter. Short term production loans or crop loans amounting to ₹56,673 crore were disbursed during the third quarter, SBI said on the 48th quarterly review meeting of the SLBC.

Principal Secretary (Finance) Sandeep Kumar Sultania underscored the need for enhanced credit flow and greater trust in the MSME sector. Strong MSME ecosystems are crucial to driving sustained development and urged banks to further intensify support to small and medium enterprises.

APC and Secretary to the State government K. Surendra Mohan said Telangana has launched a Digital Tenant Verification Initiative to electronically authenticate tenant farmers, improve their access to institutional credit and for banks to extend required credit.