Banks need to strike balance for economic progress: President Droupadi Murmu

Banks need to strike balance for economic progress: President Droupadi Murmu

President Droupadi Murmu on Tuesday said that banks need to strike the right balance between creation of assets and protecting people's money to ensure economic progress.

Speaking at an event of UCO Bank here, the President said if this balance is disturbed, there will be a problem, which could upset the development process.

"The first responsibility of banks is to protect people's money. The other important aspect of banks is creation of assets. This balance has to be maintained, and if disturbed, there will be an economic problem," Murmu said.

Stating that she belongs to a family of bankers, the President said fintech has done an enormous job during the COVID-19 pandemic for settling transactions.

"Fintech has helped in forging social equity. UPI (Unified Payments Interface) has also helped in building the digital infrastructure of the country and in settling transactions during the pandemic years," she said.

The President virtually inaugurated 50 branches of UCO Bank across 18 states in the country.

She also virtually laid the foundation stone for the reconstruction of a school in Odisha where the President once worked as a teacher.

West Bengal minister of state for finance, Chandrima Bhattacharya, said that the state is putting all efforts in implementing financial inclusion among the people.

She said the state administration is running 'Lakshmir Bhandar', the largest social security programme in the country, while another initiative 'Duare Sarkar' (Government at doorsteps) is conducted for extending government services to the people.

Under the 'Lakshmir Bhandar' scheme, financial assistance is to be provided to the deserving family of the state.

Around Rs 1.14 lakh crore credit has been extended to the MSME sector in the state, while self-help groups got Rs 20,000 crore of loans from the banking sector, she said.

UCO Bank Managing Director and Chief Executive Officer S S Prasad said the lender made the highest net profit by the end of December 2022, while current business stood at Rs 4 lakh crore.

The bank has also increased market capitalisation, benefitting its shareholders, he added.