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        Case ID :
        Budget

        Agricultural Credit Target Kept at Rs. 7 Lakh Crores

        February 28, 2013

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        In the budget for 2013-14 presented by the Finance Minister Sh. P. Chidambaram in Lok Sabha today, the agricultural credit target has been increased to Rs. 7 lakh crores from the earlier Rs. 5.75 lakh crores. The short-term crop loan scheme (Interest Subvention Scheme) has been extended to the crop loans borrowed from private sector scheduled commercial banks in respect of loans given in the service area of the branch concerned. Earlier the scheme was applicable to loans extended by the Public Sector Banks, Regional Rural Banks (RRBs) and Co-operative Banks.

        Under this Interest Subvention Scheme, a farmer will be able to get loans at 4 per cent per annum if he repays the short-term crop loan on time.

        ***

        DSM/AL/NV/3

        (Release ID :92711)

        Interest subvention extension to private banks ensures farmers access concessional rates for timely short term crop loan repayment. The budget expands the Interest Subvention Scheme to include private sector scheduled commercial banks for loans within the lending branch's service area, aligning them with Public Sector Banks, RRBs and Cooperative Banks; farmers who repay eligible short term crop loans on time qualify for a concessional four percent per annum interest rate.
                          Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
                            Provisions expressly mentioned in the judgment/order text.

                                Interest subvention extension to private banks ensures farmers access concessional rates for timely short term crop loan repayment.

                                The budget expands the Interest Subvention Scheme to include private sector scheduled commercial banks for loans within the lending branch's service area, aligning them with Public Sector Banks, RRBs and Cooperative Banks; farmers who repay eligible short term crop loans on time qualify for a concessional four percent per annum interest rate.


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