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FCI Avails Short-Term Loans of ₹19,190 Cr

Financial Express Hyderabad

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June 07, 2025

A fifth of FY26 food subsidy released by Finmin

- SANDIP DAS

Despite receiving ₹27,590 crore, or 20% of its annual food subsidy allocation, from the finance ministry in the first two months of FY26, the Food Corporation of India (FCI) has availed a short-term loan of ₹19,190 crore. The borrowing was necessitated by the high economic cost of operations driven by FCI's surplus grain stock.

According to sources, the finance ministry is currently disbursing weekly food subsidies in the range of ₹700-₹800 crore to FCI to meet working capital requirements. As a result, the corporation may not seek more short-term loans for the time being.

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