Latest news with #PromptRepaymentIncentive
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)
India Gazette
5 days ago
- Business
- India Gazette
Cabinet approves MSP hike for kharif crops, road project in Andhra; interest subvention scheme for farmers extended
New Delhi [India], May 28 (ANI): The Union Cabinet, chaired by Prime Minister Narendra Modi, on Wednesday took a series of decisions, including raising the Minimum Support Price for kharif crops, and extension of interest subvention scheme for farmers. The Union Cabinet also announced railway projects that will benefit Maharashtra and Madhya Pradesh, besides a four-lane highway in the coastal state of Andhra Pradesh. Coming to the MSP for kharif crops, the government, every year, revises the MSP of key kharif crops ahead of the sowing by farmers, to ensure remunerative prices to the growers for their produce. This year, the highest absolute increase in MSP over the previous year has been recommended for nigerseed (Rs 820 per quintal) followed by Ragi (Rs 596 per quintal), Cotton (Rs 589 per quintal) and Sesamum (Rs 579 per quintal). For paddy, it has been raised by Rs 69. For pulses tur/arhar and moong, it has been raised by Rs 450 and Rs 86, respectively. MSP has been raised for urad by Rs 400. Coming to oilseeds, MSP for groundnut, sunflower seed, and soybean has been raised by Rs 480, Rs 441, and Rs 436, respectively. For cotton, MSP has been upped by Rs 589. The increase in MSP for Kharif Crops for marketing season 2025-26 is in line with the Union Budget 2018-19 announcement of fixing the MSP at a level of at least 1.5 times of the all-India weighted average cost of production. The expected margin to farmers over their cost of production are estimated to be highest in case of bajra (63 per cent) followed by maize (59 per cent), tur (59 per cent) and urad (53 per cent). For rest of the crops, margin to farmers over their cost of production is estimated to be at 50 per cent. 'In the recent years, the government has been promoting the cultivation of crops, other than cereals such as pulses and oilseeds, and Nutri-cereals/Shree Anna, by offering a higher MSP for these crops,' the government said. India has three cropping seasons: Summer, Kharif, and Rabi. Kharif crops, sown during June-July and dependent on monsoon rains, are harvested in October-November. Rabi crops, sown in October-November, are harvested from January, depending on their maturity. Summer crops are produced between the Rabi and Kharif seasons. Moving on to the interest subvention scheme, the Union Cabinet approved the continuation of the scheme 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 today. In today's cabinet meeting, two multitracking projects across Indian Railways to ensure seamless and faster transportation of both passengers and goods were approved. These projects include Ratlam- Nagda 3rd and 4th line; and Wardha- Balharshah 4th line. The total estimated cost of the projects is Rs 3,399 crore (approx.) and will be completed upto 2029-30. The two projects covering four Districts across the states of Maharashtra, and Madhya Pradesh, will increase the existing network of Indian Railways by about 176 Kms. The proposed multi-tracking project will enhance connectivity to approx. 784 villages, which are having a population of about 19.74 lakh. These are essential routes for transportation of commodities such as coal, cement, clinker, gypsum, fly ash, containers, agricultural commodities, and Petroleum products, etc. In another and last decision, the Cabinet has approved the construction of 4-lane Badvel-Nellore Corridor with a length of 108.134 km for Rs 3,653.10 crore in Andhra Pradesh on NH(67). The proposed highway will be built on a Design-Build-Finance-Operate-Transfer (DBFOT) mode. The approved Badvel-Nellore corridor will provide connectivity to important nodes in the three Industrial Corridors of Andhra Pradesh, i.e., Kopparthy Node on the Vishakhapatnam-Chennai Industrial Corridor (VCIC), Orvakal Node on Hyderabad-Bengaluru Industrial Corridor (HBIC) and Krishnapatnam Node on Chennai-Bengaluru Industrial Corridor (CBIC). Badvel Nellore Corridor starts from Gopavaram Village on the existing National Highway NH-67 in the YSR Kadapa District and terminates at the Krishnapatnam Port Junction on NH-16 (Chennai-Kolkata) in SPSR Nellore District of Andhra Pradesh and will also provide strategic connectivity to the Krishnapatnam Port which has been identified as a priority node under Chennai-Bengaluru Industrial Corridor (CBIC). The proposed corridor will reduce the travel distance to Krishanpatnam port by 33.9 km from 142 km to 108.13 km as compared to the existing Badvel-Nellore road. This will reduce the travel time by one hour and ensure that substantial gain is achieved in terms of reduced fuel consumption thereby reducing carbon foot print and Vehicle Operating Cost (VOC). The details of project alignment and Index Map is enclosed as Annexure-I. (ANI)
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
