in the profits of the Reserve Bank. Organisationally, the terra-lending institutions are least equipped to undertake resource mobilisation.
First, it is highly debatable whether we should create and encourage several types of agencies to mobilise the savings kitty of the community. Commercial banks and postal savings organisations have proved to be the most effective agencies for mobilising the community's savings. Experiments with new institutions such as the UTI have met with failure. Secondly, so long as the lendings of the term- lending institutions conform to national priorities why should their requirements of funds riot form part of the overall credit budget of the country and their bonds continue to enjoy the trustee security status as before? If. however, the objection is about the concessional interest rates applicable to their bonds, the problem could be solved by adjust- PLANNING AND STATISTICS ing these rates upwards suitably to a level considered desirable.
