Kendrapara: The employment generation programme for youths through the establishment of micro, small and medium enterprises (MSME) has run into rough weather in Kendrapara district. This is because in most cases banks are not ready to sanction the requisite amount, sources said here Tuesday. Also, the use of force and third-party agents by banks to recover the loans is prompting youths to seek a livelihood elsewhere. Many such cases where loanees have been physically attacked and humiliated have been reported from Pattamundai locality of this district, locals alleged. The Centre and state government have floated various schemes towards employment generation for youths.
Among them, are schemes like the Prime Minister’s Employment Generation Programme (PMEGP), Prime Minister’s Rozgar Yojana and Credit Guarantee Scheme. However, youths interested in starting their own business are finding it extremely difficult to do so. With banks not sanctioning the requisite amount, they have to turn to other lenders. Then they face the double pressure of banks and lenders who are only interested in recovering the loans. Ritarani Barik said that she had applied for a loan of Rs 8 lakh for establishing a spice manufacturing unit with the district industries centre (DIC) under the PMEGP scheme.
However, she was sanctioned Rs 3 lakh only by a public sector bank. She then arranged the remainder of the money by selling a plot of land and gold ornaments. She started the unit but was forced to shut it down due to the Covid19 pandemic. She complained of regular harassment by the bank and said that the latter was using third-party agents to humiliate her. Social activist Satyapriya Samal pointed out that since this district is essentially agriculture-oriented, encouragement should be given to youths wanting to start their units. Then only industrialisation of the district will be possible.
However, the DIC is letting the youths down, Samal added. Locals stated that banks are only interested in loan recovery and for that, they can go to any extent including the use of force. Hence many youths are migrating outside the state for their livelihoods. When contacted, DIC manager Ganesh Chandra Behera said that steps will be taken if any victim lodges a complaint against the third-party agents of banks. Farmer leader Bijay Das informed that the third-party agents of banks are not even sparing the farmers who have mortgaged their land for a loan. He added that at times, the banks also hold back the money farmers receive from Kalia and other government schemes. District agriculture officer Sarat Nayak expressed his helplessness over the issue.