Chief Minister Lalduhoma on Tuesday urged banks and financial institutions to adopt a more proactive approach to lending and help raise the state's credit-deposit (CD) ratio to at least 67 per cent by 2028-29, saying greater access to institutional credit is crucial for unlocking Mizoram's economic potential.
Addressing the third edition of the North East Bankers' Conclave at Mizoram University (MZU) here, Lalduhoma said Mizoram recorded a CD ratio of 55.83 per cent during 2025-26, indicating considerable scope to expand institutional lending.
He said that seven banks operating in the state had a CD ratio below 40 per cent as of June 2026, compared with 73.52 per cent in Assam, 61.1 per cent in Nagaland and 61 per cent in Tripura.
"Our government has set a target of raising Mizoram's CD ratio to at least 67 per cent by 2028-29. Achieving this will require the commitment of every bank and financial institution operating in the state," Lalduhoma said.
The chief minister urged banks to set clear, district-wise and time-bound lending targets and strengthen their outreach beyond Aizawl.
Expressing concern over the performance of the annual credit plan in key sectors, he said that during 2025-26, target achievement stood at 8.56 per cent in agriculture, 49.53 per cent in MSMEs and 13.52 per cent in the other private sector.
While agriculture and the other private sector showed slight year-on-year improvement, MSME performance declined, he said.
The chief minister said that agriculture, MSMEs and the private sector were vital for broad-based economic development and stressed that the success of credit plans should be measured not merely by funds disbursed but by the productive activities, employment and improved livelihoods generated.
Lalduhoma also called for greater corporate social responsibility (CSR) investment in the Northeast, noting that CSR spending in the country, which exceeds Rs 34,000 crore annually, has historically been concentrated in industrialised states.
The Northeast, with its strategic location, international borders, rich biodiversity and young population, requires greater corporate engagement to unlock its socio-economic potential, he said.
Highlighting the state government's efforts to strengthen coordination with banks, Lalduhoma said its flagship 'Bana Kaih' or handholding scheme was being implemented in partnership with five banks — State Bank of India, Mizoram Rural Bank, Mizoram Cooperative Apex Bank, Union Bank of India and IDBI Bank.
He said that the government had also signed agreements with eight banks on September 7 under the One Department, One Bank (ODOB) initiative to improve coordination between government departments and partner banks and make financial management more efficient.
On digital financial management, Lalduhoma said Mizoram had onboarded all centrally sponsored schemes notified for implementation through the SNS-SPARS platform.
The state's integrated Financial Management Information System (ifMIS) had also been integrated with the RBI's E-Kuber system and the Public Financial Management System (PFMS), he said.
He said that the state government is also working towards doing away with the cheque system and expressed hope that the transition could be completed within a year.
The Mizoram chief minister also identified tourism and hospitality, healthcare and education, vocational and skill training, agro-horticultural processing, handloom and handicrafts, bamboo-based industries, manufacturing and services, trade and commerce, and warehousing and logistics as key areas offering opportunities for credit growth.
Urging banks to look beyond conventional lending patterns, Lalduhoma said financial institutions should work with entrepreneurs to develop bankable projects suited to the state's emerging economic opportunities.
"The potential is here. The entrepreneur is pretty serious here. Our task is to bridge the gap between that potential and the financial resources needed to realise it," he said.
He further said that the state government is ready to work with banks to address practical difficulties and policy-related obstacles affecting lending.