To promote e-NWR (electronic Negotiable Warehouse Receipts) financing, Bank of India has joined hands with the Warehousing Development and Regulatory Authority (WDRA)
The MoU was signed by T K Manoj Kumar, Chairman of WDRA and Rajneesh Karnatak, MD & CEO, Bank of India, in the presence of senior executives of WDRA and Bank of India.
The MoU is aimed at promoting awareness about the benefits of e-NWR financing and sensitizing farmers on how to avoid distress sales. By embracing e-NWR, farmers can be empowered to create a more sustainable and prosperous agricultural economy. This will prevent the sale of produce at throwaway prices since the farmers could wait for the right time to sell their produce at good prices, besides receiving financial assistance from BOI through e-NWR. Bank of India's association with Electronic Negotiable Warehouse Receipts (eNWR) ensures farmers and traders gain easy access to low-interest finance, transparent commodity trading, and reduced paperwork through digital records. This collaboration, regulated by WDRA, integrates online platforms, facilitating efficient price discovery and quality assurance, fostering a credible and secure environment for agricultural finance and trade.
A presentation was also made by WDRA, highlighting the importance of pledge financing. Various types of risks faced by lending institutions as well as the regulatory and judicial support provided by WDRA for mitigating these risks were also discussed during the presentation that was attended by 13 NBG (National Banking Groups) General Managers through Video Conferencing. The MoU is expected to provide a big fillip to e-NWR financing while also promoting the rural economy’s development.
