Interest subvention scheme News

The Reserve Bank on Thursday said farmers will continue to get short-term crop loan of up to Rs 3 lakh at subsidised interest rate of 7 per cent and the rate could go down to 4 per cent if they repay promptly in 2017-18.

The Union Cabinet on Tuesday approved a proposal to extend a three percent interest subvention scheme to banks for the current fiscal to ensure farmers get short-term crop loans up to Rs 3 lakh at seven percent interest.

Concerned over continuous decline in exports, government on Wednesday announced 3 percent interest subsidy scheme for exporters which will have a financial implication of about Rs 2,700 crore.

To give a fillip to exports, the Commerce Ministry has moved a Cabinet note on a proposal to provide cheaper credit access to exporters from various sectors under the interest subvention scheme.

The government on Monday said it has released Rs 11,281 crore between April and July to NABARD to pay interest subvention claims to banks for short-term crop loans of up to Rs 3 lakh to farmers.

The government on Tuesday extended the interest subvention scheme to banks to ensure availability of crop loans of up to Rs 3 lakh to farmers at 7 percent per annum.

Concerned over a continuous decline in exports, the government on Friday said it will soon announce an interest subsidy scheme for exporters.

In a move to make finance cheaper for weaker sections of the society, the government will soon be massively expanding the eligibility cap for the 5 percent interest subvention scheme to Rs 5 lakh from the current Rs 1 lakh, a top official said on Wednesday.