New Delhi: Even after bagging praises from all corners over its developmental saga, the public sector banks are yet to change their perception of Bihar which is still facing the problems as far as loan repayment scenario is concerned.

The state has failed to improve its credit deposit ratio (CD ratio) which stands at 33.99 percent, the least in the country, despite repeated directions from the Reserve Bank of India (RBI).

If the government data is to be believed then only Rs 1,13,909 crore was deposited in the banks of Bihar by March 31, 2011. And during this period, loans worth Rs 38,723 crore were distributed, bringing the credit deposit to only 33.99 percent.

When it comes to lending loans, the condition of public sector banks is the worst. An amount of Rs 98,572 crore was deposited while loans of only Rs 29,593 crore were disbursed. Due to this, the CD ratio remained at 30 percent.

The CD ratio in the Cooperative banks (46 percent) and Regional Rural Banks (43 percent) is comparatively better than the public sector banks here.

During his tour to Bihar around two decades back, the then Finance Minister Manmohan Singh had announced to form a task force to increase the rate of CD ratio. It was decided that its ratio would be increased to 40 percent, but the same is yet to be accomplished.

If we look at the data on CD ratio of the past five years, despite the relative improvement in law and order situation in the state, the approach of banks has not changed.

However, the indications of improvement were indicated by March 2007, when the CD ratio was recorded at 34.38 percent. But in March 2008, it again declined to 32.35 percent and further reached to 30.46 percent in March 2009. The condition slightly improved in 2010 March when the CD ratio increased to 32.13 percent.

Banks are of the view that since the repayment of loan scenario is yet to witness a positive trend in the state, the CD ratio has also not been improving. Till March 31, 2011 at least 3,26,359 certificates cases were pending involving the bank amount of Rs 1100 crore.