Scindia urges banking sector to expand in Northeast amid rapid economic growth

 Union Minister for Development of North Eastern Region (DoNER) Jyotiraditya Scindia has called upon the banking sector to significantly expand its presence in the Northeast, citing the region's rapid economic growth, which has outpaced the national average.

Speaking at the 72nd Plenary Session of the North Eastern Council (NEC) and the North East Space Application Centre Society meeting chaired by Union Home Minister Amit Shah, Scindia emphasized the transformative potential of the region. “The states in the Northeast are growing at 10-12% GDP, far outpacing the national average. If you do not grow your presence in the Northeast now, the train would have left the station. The first-mover advantage is crucial,” he said.

Scindia, who also serves as Vice Chairman of the NEC, highlighted the government’s commitment to turning the region into an economic powerhouse through the ‘Act East Policy,’ an evolution of the earlier ‘Look East Policy.’ This policy, he explained, is built on three pillars: progress, development, and nonviolence, and aims to position the Northeast as a hub for growth and as India’s gateway to Southeast Asia.

Key Initiatives Announced:

North-East Investors Summit in Delhi: An upcoming platform to attract investments and spotlight the region’s potential.
Hydropower Development: Plans to leverage the region’s natural resources to enhance energy capabilities.

State-Specific Logistics Strategies: Initiatives tailored to the unique strengths of each state to boost connectivity and economic activity.

World-Class Infrastructure: Continued investment in transportation, digital connectivity, and the knowledge economy to drive transformation.

Banking and Financial Growth: Addressing a Bankers’ Conclave in Agartala, Scindia detailed the region’s burgeoning financial sector:

Also Read: Amit Shah outlines vision for Northeast connectivity and development at NEC meeting

Bank Branch Growth: A 50% increase, from 3,330 to 5,182 branches.

Credit Surge: A 282% rise to ₹1.86 lakh crore.

Deposits Growth: A 152% increase to ₹3.52 lakh crore.

Mutual Fund Assets: More than doubled to ₹40,000 crore.

He urged the banking sector to seize the opportunity presented by the Northeast’s unique strengths, including its rich natural resources and skilled human capital.

Scindia lauded the leadership of Prime Minister Narendra Modi and Home Minister Amit Shah, crediting them with turning India into the 5th largest global economy, with projections to become the 3rd largest by 2026. “This is a paradigm shift and an inflection point, brought about by the Prime Minister’s unwavering focus on inclusive growth,” he noted.

The Minister concluded by reiterating the government’s resolve to make the Northeast the “growth engine” of India’s economy, emphasizing that the region’s development is pivotal to the nation’s progress.