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Govt nod to ₹15.6K cr for farm loan interest subsidy
May 29, 2025
|Financial Express Lucknow
THE UNION CABINET on Wednesday approved ₹15,642 crore for providing interest subsidy to farmers on working capital loans for the current fiscal.
Under this Modified Interest Subvention Scheme (MISS), farmers taking short-term loans of up to ₹3 lakh through Kisan Credit Cards (KCC) will have to pay just 7% interest, including 1.5% interest subvention.
Additionally, farmers repaying loans promptly are eligible for an incentive of up to 3% as Prompt Repayment Incentive (PRI) effectively reducing their interest rate on KCC loans to 4%.
For loans taken exclusively for animal husbandry or fisheries, the interest benefit is applicable for up to ₹2 lakh, according to a statement issued after the meeting of the Cabinet. There are more than 77.5 million KCC accounts in the country.
هذه القصة من طبعة May 29, 2025 من Financial Express Lucknow.
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