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South Africa seeks agri-expertise from India

South Africa is keen to have Indian expertise and finances for its housing and rural sector development.

According to Narend Singh, minister for agriculture and housing of Kwa Zulu Natal, a state of South Africa, his country needs to develop its agriculture and housing sector with the help of Indian banks and housing institutions. "We need to follow up certain collaboration and understanding with banks and institutions in India so that we can make some tailor-made schemes for developing and financing our rural sector," he said.

Singh held a meeting in Bombay on Friday with senior executives of Nabard, Agriculture Finance Corporation, Bank of Baroda, Housing Finance Corporation and government officials and sought training facilities available for agriculture development and banking.

Singh, who is leading a six-member delegation to India, said that in Africa, banks are not committed to financing the rural sector unlike banks and institutions in India. "I had successful talks with HUDCO officials in Delhi to set up a housing support centre in my state."

The minister also convinced that there are rooms to set up joint venture collaboration with Indian institutions for exchange of expertise and technology with greater focus on social sector. "I am taking back this idea for implementation."

Bank of Baroda chairman K Kannan said that at present Indian banks were not allowed to undertake retail banking business in South Africa and hence, there was no exposure of Indian banks in financing the rural and agriculture sector in that country.

However, BoB is contemplating to offer technical expertise in agriculture sector to Africa with the financial help from the state-owned banks and institutions there. "We will continue to focus on trade finance and loan syndication through our only branch in Africa," he said.

The African branch of the bank alone posted a net return of 12 per cent on investment last year.

The Indian rural upliftment model developed for total solutions for the agri-sector could be applied to developing nations like South Africa, he added. The bank has been in the forefront for setting up of integrated rural development through Gram Vikas Kendra and multi service agency for assisting not only the agriculture sector but also artisans, self-employed small traders and other weaker sections.

UNI

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