New Delhi: With an eye over the minority votes in the five states going to polls next year, the Central government has decided to tightened noose around the banks for adopting rigid approach in giving loans to the minority community.

Given the minority vote banks as a deciding factor in the Assembly polls, Union Finance Minister Pranab Mukherjee himself has held discussions with prominent banks for providing banking service at the doors of minorities.

Sources in the Finance Ministry said the existing policy for disbursing loans to the minorities would be amended. 
Earlier, the UPA-I had made amendment in banking laws. As per the existing norms, banks are required to disburse 15 percent of the total loans to the minorities. However, 13 banks are said to have flouted the norms.

Laying thrust on minorities, the Centre may earmark an additional fund to banks for extending banking services in 121 minority-dominated districts early next year.
Acting on the Sachar Committee recommendations, the Finance Ministry is all set to open more number of branches in the 103 minority –dominated districts. Banking representatives (Correspondent) are likely to be appointed in these districts.