Latest news with #ModifiedInterestSubventionScheme
India Gazette
5 days ago
- Business
- India Gazette
"Historic day as scientists step out of labs to share research directly with farmers", says Agriculture Minister Chouhan
Puri (Odisha) [India], May 29 (ANI): Union Agriculture Minister Shivraj Singh Chouhan on Thursday hailed scientists stepping out of labs to share new agricultural research directly with farmers, emphasising practical implementation. The government has also extended the Modified Interest Subvention Scheme to provide financial support to farmers, marking a significant step toward boosting agricultural productivity and farmer welfare. Speaking to media persons, Chouhan said, 'It is a historic day for the country as the scientists leaving their labs are going to farmers to inform them about new research and agricultural developments. Knowledge will not remain in labs but will be implemented on the ground.' 'Farmers, the Central Agriculture Ministry, the state department, and agricultural universities work together to ensure production the Centre and the Cabinet extended the Modified Interest Subvention Scheme in the interest of farmers,' he told reporters. Earlier, on Wednesday, the Union Cabinet approved the continuation of the interest subvention component under the Modified Interest Subvention Scheme (MISS) for farmers for the financial year 2025-26 and approved the required fund arrangements. It is a Central Sector Scheme that ensures the availability of short-term credit to farmers at an affordable interest rate through the Kisan Credit Card (KCC). Under the Scheme, farmers received short-term loans of up to Rs 3 lakh through Kisan Credit Cards (KCC) at a subsidised interest rate of 7 per cent, with a 1.5 per cent interest subvention provided to eligible lending institutions. Additionally, farmers repaying loans promptly are eligible for an incentive of up to 3 per cent as a Prompt Repayment Incentive (PRI), effectively reducing their interest rate on KCC loans to 4 per cent. Overall agricultural credit flow also rose from Rs 7.3 lakh crore in 2013-14 to Rs 25.49 lakh crore in 2023-24. 'The Cabinet's decision reinforces the Government's unwavering commitment to doubling farmers' income, strengthening the rural credit ecosystem, and boosting agricultural growth through timely and affordable credit access,' the statement added. (ANI)
Hans India
5 days ago
- Business
- Hans India
Bonanza For Farmers: Centre hikes MSP for Kharif crops, extends low-interest loans
New Delhi: The Union Cabinet on Wednesday approved a hike in minimum support prices (MSP) for 14 Kharif crops for the 2025-26 marketing season. The decision was taken by the Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi. Union Minister Ashwini Vaishnaw said the MSP for paddy has been increased by Rs 69 per quintal, setting the new rate at Rs 2,369 for the season. Paddy (Grade A) will now fetch Rs 2,389 per quintal. The highest jump in MSP has been recommended for nigerseed, which sees an increase of Rs 820 per quintal. This is followed by ragi (Rs 596), cotton (Rs 589), and sesamum (Rs 579). Maize will now have an MSP of Rs 2,400, up from Rs 2,225. Among oilseeds, the MSP for groundnut has been increased by Rs 480, sunflower seed by Rs 441, and soybean by Rs pulses, the MSP for tur (arhar) and moong has been increased by Rs 450 and Rs 86, respectively, while urad has seen a hike of Rs 400. These adjustments are part of the government's broader effort to support agricultural incomes and reduce rural distress. The revision comes ahead of the monsoon sowing season and is expected to influence crop choices among farmers. The MSP serves as a safety net for farmers, ensuring that they get a minimum price for their produce, even if market prices fall. The changes will be effective from the upcoming Kharif season, which begins with the onset of the monsoon in June. Continuation of the Modified Interest Subvention Scheme (MISS) The Union Cabinet also approved the continuation of the Modified Interest Subvention Scheme (MISS) for the financial year 2025-26. The scheme will continue with the existing 1.5% interest subvention for short-term loans provided to farmers. MISS is a central sector scheme that ensures affordable credit for farmers through the Kisan Credit Card (KCC). Under the scheme, farmers can get short-term loans of up to Rs3 lakh at a 7% interest rate. Out of this, 1.5% is subsidised by the government, making the loan cheaper for lending banks and institutions. Additionally, farmers who repay their loans on time are eligible for a 3% Prompt Repayment Incentive (PRI). This lowers their effective interest rate to just 4%. For those taking loans specifically for animal husbandry or fisheries, the benefit is applicable up to Rs 2 lakh. No changes have been made to the structure of the scheme. It will continue as is, helping more than 7.75 crore KCC account holders across the country. According to the government, continuing the support is crucial for keeping up the flow of institutional credit to the agriculture sector, especially for small and marginal farmers. Over the years, credit through KCC has grown from Rs 4.26 lakh crore in 2014 to Rs 10.05 lakh crore by December 2024. The overall agriculture credit flow increased from Rs 7.3 lakh crore in 2013-14 to Rs 25.49 lakh crore in 2023-24. To make the process more efficient, the government also launched the Kisan Rin Portal in August 2023, which has made claim processing faster and more transparent.
India Gazette
6 days ago
- Business
- India Gazette
Centre extends interest subvention scheme for farmers by another year
New Delhi [India], May 28 (ANI): The Union Cabinet on Wednesday approved the continuation of the interest subvention component under the Modified Interest Subvention Scheme (MISS) for farmers for the financial year 2025-26, and approved required fund arrangements. It is a Central Sector Scheme aimed at ensuring the availability of short-term credit to farmers at an affordable interest rate through Kisan Credit card (KCC). Under the Scheme: Farmers received short-term loans of up to Rs 3 lakh through Kisan Credit Cards (KCC) at a subsidized interest rate of 7 per cent, with 1.5 per cent interest subvention provided to eligible lending institutions. Additionally, farmers repaying loans promptly are eligible for an incentive of up to 3 per cent as Prompt Repayment Incentive (PRI) effectively reducing their interest rate on KCC loans to 4 per cent. For loans taken exclusively for animal husbandry or fisheries, the interest benefit is applicable up to Rs 2 lakh. No changes have been proposed in the structure or other components of the scheme by the Cabinet. 'There are more than 7.75 crores of KCC accounts in the country. The continuation of this support is critical to sustaining the flow of institutional credit to agriculture, which is vital for enhancing productivity and ensuring financial inclusion for small and marginal farmers,' the government said in a statement. Institutional credit disbursement through KCC increased from Rs 4.26 lakh crore in 2014 to Rs 10.05 lakh crore by December 2024. Overall agricultural credit flow also rose from Rs 7.3 lakh crore in 2013-14 to Rs 25.49 lakh crore in 2023-24. 'The Cabinet's decision reinforces the Government's unwavering commitment to doubling farmers' income, strengthening the rural credit ecosystem, and boosting agricultural growth through timely and affordable credit access,' the statement added. (ANI)
Business Standard
6 days ago
- Business
- Business Standard
Cabinet approves continuation of Modified Interest Subvention Scheme for FY 2025-26 with existing 1.5% Interest Subvention
Union Cabinet chaired today approved the continuation of the Interest Subvention (IS) component under the Modified Interest Subvention Scheme (MISS) for the financial year 2025-26, and approved required fund arrangements. MISS is a Central Sector Scheme aimed at ensuring the availability of short-term credit to farmers at an affordable interest rate through Kisan Credit card (KCC). Under the Scheme, farmers received short-term loans of up to Rs.3 lakh through Kisan Credit Cards (KCC) at a subsidized interest rate of 7%, with 1.5% interest subvention provided to eligible lending institutions. 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 up to Rs.2 lakh. No changes have been proposed in the structure or other components of the scheme. There are more than 7.75 crores of KCC accounts in the country.
News18
6 days ago
- Business
- News18
Kisan Credit Card: Cabinet Extends Interest Subvention Scheme For FY26; Over 7.75 Crore Farmers To Benefit
Reported By : Last Updated: May 28, 2025, 16:12 IST There are currently more than 7.75 crore active Kisan Credit Card (KCC) accounts in the country. In a move to support farmers, the Union Cabinet, chaired by Prime Minister Narendra Modi, on Wednesday approved the continuation of the interest subvention component under the Modified Interest Subvention Scheme (MISS) for the financial year 2025-26, benefitting over 7.75 crore Kisan Credit Card (KCC) holders. The Centre has also approved the necessary fund allocations to sustain the scheme. 'The Union Cabinet today approved the continuation of the Interest Subvention (IS) component under the Modified Interest Subvention Scheme (MISS) for the financial year 2025-26, and approved required fund arrangements," according to an official statement released on May 28. The MISS, a central sector scheme, aims to provide short-term agricultural loans at subsidised interest rates through Kisan Credit Cards (KCC) to crores of small and marginal farmers across the country. 'No changes have been proposed in the structure or other components of the scheme," according to the statement. What is the Modified Interest Subvention Scheme (MISS)? Interest subvention is a form of financial assistance provided by the government to reduce the effective interest rate on loans. Under the Modified Interest Subvention Scheme, farmers receive short-term loans of up to Rs 3 lakh at a 7 per cent annual interest rate, out of which the government subsidises 1.5 per cent (interest subvention) for the eligible lending institutions, according to the statement. Additionally, to encourage timely repayments, farmers who repay their loans on time are eligible for a Prompt Repayment Incentive (PRI) of 3 per cent, bringing down the effective interest rate to just 4 per cent, it added. For loans specifically taken for animal husbandry and fisheries, the interest benefit is available on loans up to Rs 2 lakh, the statement said. What is the Kisan Credit Card (KCC)? Launched to provide farmers with access to credit in a flexible and hassle-free manner, the Kisan Credit Card is a government initiative that enables farmers to take short-term loans for crop production, animal rearing, and other allied activities. The scheme is implemented by commercial banks, regional rural banks, and cooperative banks. There are currently more than 7.75 crore active KCC accounts across the country, according to the statement. Through the KCC, farmers can easily access credit at concessional rates, helping them avoid high-cost borrowing from informal sources like moneylenders. Rising Credit to Agriculture Swipe Left For Next Video View all Institutional credit disbursed through KCC increased from Rs 4.26 lakh crore in 2014 to Rs 10.05 lakh crore by December 2024. Overall agricultural credit flow surged from Rs 7.3 lakh crore in FY14 to Rs 25.49 lakh crore in FY24, according to the official statement. To enhance transparency and streamline credit processing, the government also launched the Kisan Rin Portal (KRP) in August 2023. Stay updated with all the latest business news, including market trends, stock updates, tax, IPO, banking finance, real estate, savings and investments. Get in-depth analysis, expert opinions, and real-time updates—only on News18. Also Download the News18 App to stay updated! News business » economy Kisan Credit Card: Cabinet Extends Interest Subvention Scheme For FY26; Over 7.75 Crore Farmers To Benefit
