As the Bihar state assembly elections get closer, the government is planning a major benefit for farmers. According to reports, the state government has prepared a plan that will allow farmers to take loans under the Kisan Credit Card (KCC) scheme without paying any interest. The government believes that this step will encourage more people to take up farming and improve agricultural activities in Bihar.
Government Approval and Expected Announcement
The Finance Department has reportedly given its approval for this plan, and an official announcement is expected soon. In February, Chief Minister Nitish Kumar had already stated that the government was working on several welfare schemes for farmers. He also mentioned that the central government is helping by introducing schemes such as the Makhana Board to support farmers.
On Friday, Cooperative Minister Prem Kumar, along with Department Secretary Dharmendra Singh and Joint Registrar Kameshwar Thakur, shared information about the upcoming scheme. He confirmed that both CM Nitish Kumar and Deputy CM Samrat Choudhary have agreed to provide this benefit to the farmers. The official announcement is likely to be made soon.
Benefits of KCC
Banks offer KCC Loans at attractive interest rate (7% p.a.) on loans upto Rs.3.0 lacs. Government also provides 3% interest subvention (Upto Rs.9000/- per borrower) for loans upto Rs. 3.00 lacs on proper repayment. There is also provision of 10% limit increase every year, subject to annual review. There is No collateral security for loans upto Rs 2.00 lakh.
