In the wake of the coronavirus lockdown, the Central Government has announced an economic recovery policy to help various sectors and announced assistance programs worth 20.97 lakh crore. From time to time, it had announced financial assistance to a number of departmental employees and companies under these schemes. Under one of the schemes, the government has provided loans at subsidized rates to Kisan Credit Card holders, farmers, ranchers and fishermen. It was announced that ₹ 20 lakh crores in subsidized interest would be lent to 2.5 crore farmers, fishermen and livestock farmers through Kisan Credit Cards in the ₹ 20 trillion Economic Recovery Relief Fund.
According to the announcement, Finance Minister Nirmala Sitharaman has posted on her Twitter page that 2 89,810 crores have been lent at interest to 1.2 crore Kisan cardholders. This measure has been taken to facilitate the sowing for the Kharif season, and related agricultural activities.
Nirmala Seetharaman, the Union Finance Minister, tweeted about this, saying, “As on 24.07.2020, 111.98 lakh Kisan Credit Cards have been sanctioned with a credit limit of Rs 89,810 crore out of Rs 2 lakh crore concessional credit under the #AatmanirbharBharat package. This will benefit 2.5 crore farmers, including fishermen & dairy farmers.“
As on 24.07.2020, 111.98 lakh Kisan Credit Cards have been sanctioned with credit limit of Rs 89,810 crore out of Rs 2 lakh crore concessional credit under the #AatmanirbharBharat package. This will benefit 2.5 crore farmers, including fishermen & dairy farmers.
— NSitharamanOffice (@nsitharamanoffc) July 27, 2020
Kisan Credit Card (KCC) is a very important scheme for small farmers. Through this, loans worth Rs 1.6 lakh are being given to farmers without any guarantee. At the same time, farmers can take loans up to Rs 5 lakh through this in 3 years. The interest rate in this card is also very low at 4% per annum.