NABARD releases State Focus Paper 2026-27 for Sikkim, estimates credit potential at Rs 1701 cr for priority sectors

GANGTOK, (IPR): The State Credit Seminar 2026-27, organised by the Sikkim Regional Office of the National Bank for Agriculture and Rural Development (NABARD), was held Monday at a local hotel in Gangtok.

The inaugural session of the seminar was attended by Chief Secretary, Government of Sikkim, Ravindra Telang, as chief guest.

He was accompanied by Controller of Accounts & Secretary, Finance department, MCP Pradhan, commissioner-cum-secretary, Agriculture and Horticulture department, Jigme Dorjee Bhutia, deputy general manager, Reserve Bank of India, Rodney Valentine, deputy general manager, Local Head Office, Kolkata, State Bank of India, Alok Jain, and general manager/officer in charge, NABARD Sikkim, Ajay Kumar Sinha.

On the occasion, the State Focus Paper (SFP) 2026-27, an annual credit planning document prepared by NABARD for the State of Sikkim, was formally released.

The document estimated the aggregate credit potential for 2026-27 assessed at Rs. 1701.42 crore, comprising Rs. 589.04 crore (34.62%) for agriculture and allied, Rs. 968.99 crore (56.95%) for MSME and Rs.143.39 crore (8.43%) for other priority sectors.

In his keynote address, the Chief Secretary stressed the critical role of credit in driving economic growth and human development. He described the State Focus Paper as an important guiding document that would determine the credit outlay for the coming financial year and shape the State’s developmental priorities.

Highlighting the broader philosophy of credit, the Chief Secretary said that credit is fundamentally built on trust and belief in a better future. He stated that when credit flows adequately, it reflects society’s confidence in growth and progress.

Conversely, inadequate credit flow weakens economic motivation and limits entrepreneurial aspirations, he added.

The Chief Secretary stressed the importance of linking welfare initiatives with credit-based growth models to encourage self-reliance and long-term economic sustainability.

Thereafter, he called upon banks, government departments, and other institutions to collectively create an enabling environment where individuals feel confident in accessing credit, investing productively and generating returns higher than borrowing costs.

Referring to agriculture and allied sectors, he highlighted the need for focused, cluster-based development instead of fragmented and shifting approaches. He stated that lack of consistency and collective action often dilutes economic impact.

Emphasising Sikkim’s unique strengths, he urged stakeholders to concentrate on high-value, niche products where the state has a comparative advantage, rather than competing in mass markets.

The Chief Secretary also highlighted the importance of developing reliable market linkages so that producers, including Self-Help Groups (SHGs), can scale up their activities beyond exhibitions and limited local sales towards sustainable income generation.

He further expressed confidence that collective efforts by government institutions, banks and development agencies would unlock the State’s untapped potential and ensure more inclusive and meaningful economic growth.

In his address, DGM, SBI Kolkata, Alok Jain, congratulated NABARD on the release of the State Focus Paper 2026-27. He described the document as a comprehensive roadmap for the state’s development, stating that it provides sector-wise credit potential and serves as an important guide for banks in preparing the Annual Credit Plan.

Highlighting the significance of agriculture in the State’s economy, he encouraged banks to support the transition from subsistence to commercial farming by promoting improved practices, value addition and better market linkages.

He underlined the importance of coordinated efforts to strengthen priority sector lending and rural development, while reaffirming the banking sector’s commitment to working closely with NABARD and the Government of Sikkim to support inclusive and sustainable economic growth in the State.

Addressing the gathering, commissioner-cum-secretary, Agriculture and Horticulture department, Jigme Dorjee Bhutia, said that the State Credit Seminar is an important platform for aligning financial support with the State’s developmental priorities. He appreciated the efforts of NABARD in preparing the State Focus Paper and termed it a key driver for sectoral growth, particularly in agriculture and allied activities.

He added that effective implementation of the credit plan would require close coordination between stakeholders so that the document translates into tangible outcomes on the ground.

Highlighting ongoing initiatives in the agriculture sector, he spoke about the importance of strengthening value addition, processing, branding and structured market linkages to enhance farmers’ income. He stressed the need to move towards a more organised and market-oriented agricultural ecosystem while ensuring that small and marginal farmers remain adequately supported.

Bhutia further underscored the importance of integrated development of agriculture with allied sectors such as fisheries and animal husbandry, adding that a holistic and inclusive credit approach would benefit the majority of farmers in the State. He called for continued collaboration among stakeholders to improve credit absorption, address challenges at the grassroots level and ensure that financial support reaches intended beneficiaries in a timely and effective manner.

Deputy general manager, RBI, Rodney Valentine, in his brief address, highlighted the significance of priority sector lending and urged banks to work towards effective achievement of sectoral targets, particularly in agriculture and allied activities, MSMEs and other priority segments. He also encouraged greater credit outreach in districts with lower credit penetration.

Stressing the need for stronger financial literacy and compliance, Valentine stressed the importance of Know Your Customer (KYC) norms to ensure smoother access to banking services and government schemes. He called for continued synergy among all stakeholders to promote inclusive and sustainable growth in the State.

During the course of the event, NABARD’s Sikkim Regional Office ceremonially handed over sanction letters and disbursement support to partner institutions under various initiatives through the hands of the Chief Secretary.

These included direct financial assistance to Sikkim State Cooperative Bank Ltd to strengthen and diversify its lending portfolio; support for Tribal Development Fund project at Kitam Manpur GPU in Namchi district and Naga GPU in Mangan district; incentives to promote customer service points and business correspondents for expanding last-mile banking outreach; and assistance for deployment of micro-ATMs to enhance digital financial inclusion through cooperative institutions.

During the technical session, a series of presentations were made highlighting key development initiatives.

Deputy general manager, NABARD, Anil Kumar Yadav, gave a comprehensive presentation on the credit plan and projections under the State Focus Paper 2026-27.

Likewise, the NABARD representative presented an overview of initiatives undertaken by NABARD in the State, including interventions aimed at strengthening rural infrastructure, financial inclusion and livelihood promotion.

A presentation on Geographical Indications (GI) focused on NABARD’s efforts in supporting GI-related interventions in Sikkim to enhance value addition, branding and market linkage for local products.

Subsequently, another presentation highlighted the status of cooperatives in the State and elaborated on NABARD’s role in strengthening cooperative institutions and promoting sustainable credit and institutional development.

Beneficiaries of various NABARD-supported initiatives also shared their experiences during the seminar.

Among them, Ugen P. Lepcha presented the Geographical Indication (GI) certificates granted by the Government of India for the traditional Lepcha musical instruments, Tungbuk and Pumtong Pulit. He underscored the significance of GI recognition in preserving indigenous heritage, ensuring legal protection, and enhancing the identity and market value of these culturally significant instruments.

The vote of thanks was proposed by AGM, NABARD, Tempa C Bhutia.

Earlier, the welcome address was delivered by general manager/officer in charge, NABARD Sikkim, Ajay Kumar Sinha.