Trend and Growth of Short-Term Loans of Pandyan Grama Bankin Thoothukudi Main Branch-A Study

Abstract

India is a country of villages and development of the country depends upon all round progress of rural areas. An attempt has been made to analyse the trend and growth of various components of short-term loans issued by PandyanGrama Bank during the period 2005-06 to 2015-16 and to study the socio-economic status of the customers of PandyanGrama Bank (PGB) in Thoothukudi main branch.The present study is based on both primary and secondary data. The simple random sampling technique has been adopted to select customers of PandyanGrama Bank in Thoothukudi main branch. Secondary data and information are collected from the annual reports of the Annual Reports of PandyanGramaBank, the Department of Statistics, Tamilnadu, and Reserve Bank of India, Banking Statistics, books, journals and websites. Percentage analysis, averages, standard deviation Garret ranking method, t-test, trend coefficient, compound growth rate and probability analysis were used for the analysis. The field survey was conducted by personal interview method during the period from August 2017 to November 2017.It is found that majority of the respondents reasons for opting for thePandyanGrama Bank as easy terms and conditionswas ranked first followed by low rate of interest. Accessibilitywas ranked third and no other sourceranked fourth respectively.It is inferred that institutional loan issued byPandyanGrama Bank, on an average, over the period was found to be higher than other types of loan.  The average amount issued from 2005-06 to 2015-16 was Rs.3,506.90 lakh for crop loan, Rs.6,918.37 lakh for jewel loan, Rs.23,662.09 lakh for institutional loan and Rs.12,092.61 lakh for other loans. The coefficient of variation of crop loan, jewel loan, institutional loan and other loans were 14.65 percent, 46.27 percent, 19.57 percent and 5.01 percent respectively.  The values indicate that the other loan was more stable than other components of short-term loan.On the whole the project is concluded that the satisfaction levels of the customers are good with respect to the banking services in the study area. In fine, the suggestions made in the study provide a broad framework for reorganising and improving the working of the PandyanGrama Bank in the future.