📋 Social Banking Directives

Credit Facilities to Minority Communities

Scheduled Commercial Banks are advised to keep the flow of bank credit smooth to minority communities as identified by the Government of India.

Identified Minority Communities

The following communities have been notified as minority by the Government of India, Ministry of Minority Affairs:

• Sikhs, Muslims, Christians, Zoroastrians, Buddhists & Jain

Minority Concentration Districts

• A list of 121 minority concentration districts, having at least 25% minority population, is forwarded by the Government.
• Excludes state/UTs where minorities are in majority.

Priority Sector Lending Target

• As per Master Direction on Priority Sector Lending dated 04-09-2020, a sub target of 11.5% of Adjusted Net Bank Credit or Credit Equivalent amount of Off-Balance Sheet Exposures (whichever is higher) as on March 31 of the previous year, has been mandated for lending to weaker sections which includes persons from minority communities.

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National Minorities Development and Finance Corporation (NMDFC)

• NMDFC is the apex body and channelizes its funds through the State Minority Finance Corporation of each State/Union Territory.
• The "D" in NMDFC stands for "Development" (National Minorities Development and Finance Corporation).
• It promotes economic and development activities for the backward sections amongst the minorities.

PM's New 15 Point Programme for the Welfare of Minorities

• Ensures an appropriate percentage of priority sector lending is targeted for the minority communities.
• Benefits of various government-sponsored schemes should reach the under-privileged, including the minority group.
• Should be implemented by Central Ministries/Departments in minority concentration districts.
• All Scheduled commercial banks must ensure minority communities receive an equitable portion of credit.

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Differential Rate of Interest (DRI) Scheme - Detailed

The DRI scheme remains one of the most important tools for the "poorest of the poor."