Rajasthan Interest Free Farm Loan Scheme
For past few years the state government of Rajasthan is providing farm loans at lower interest rates. This year it has been said that farmers may get interest free loans from banks. In a recent event it was officially announced that up to Rs. 75,000 Cr financial help will be provided to the farmers of the state under a new loan interest scheme.
|Event||GRAM aka Global Rajasthan Agritech Meet held in Udaipur city|
|Name of the scheme under event||Interest free farm loan|
|Announced By||Chief Minister of Rajasthan, Vasundhara Raje|
|Date of event||November 2017|
|Banks||Cooperative Banks and Land Development Banks|
|Supervised By||Rajasthan Agricultural Marketing Board|
Key Features Of Interest Free Farm Loan Scheme
- Loan Amount: As of now nearly Rs. 55, 000 Cr have been sanctioned and provided by the state government as loan. The authority has stated that in next one and half years the amount will reach to Rs. 75, 000 Cr. This is recorded as the highest interest free loan amount in India till now.
- Rate: Currently the farmers are paying interest rate of 6.7% on farm loan. This is comparatively lower than normal market rate. Under this scheme the rates will reduce further to 5.5% which will be levied on farm loans
- Subsidy: Also the agricultural board will start a new scheme where subsidy will be given to the farmers who want to start their own processing unit. There will be 50% subsidy on 20 lacs of capital cost.
As mentioned that the government will provide Rs. 75, 000 Cr by 2019 for this scheme. This scheme is called interest free scheme but it is not completely interest free. A small portion of interest rate must be borne by the farmers. The rest will be carried by the state.
Farmers who want to become entrepreneur will receive subsidy from the Rajasthan Agricultural Marketing Board. Under this scheme the farmers who will have capital cost worth of Rs. 20 Lac will get 50% subsidy on that.