PM-KISAN: Modi releases Rs. 17,100 crore to 8.5 crore farmers
Prime Minister Narendra Modi on Sunday released Rs. 17,100 crore to the bank accounts of nearly 8.5 crore farmers under the PM-KISAN (Pradhan Mantri Kisan Samman Nidhi) scheme. The amount was disbursed as the sixth installment of the scheme that was launched in 2018. The PM also launched a Rs. 1 lakh crore financing facility under the Agriculture Infrastructure Fund. Here are more details.
Rs. 17,100 crore transferred directly to farmers, no middlemen
Speaking during a video conference, Modi said that Rs. 17,100 crore was transferred directly to the bank accounts of 8.5 crore farmers with no middlemen. With this, a total of Rs. 90,000 crore support has been extended to over 10 crore farmers since December 2018 when PM-KISAN was launched, the PM's office said in a statement.
Modi launches Agriculture Infrastructure Fund
Modi also launched the new Agriculture Infrastructure Fund through video conference. Agriculture Minister Narendra Singh Tomar and senior ministry officials were present during the launch. The fund, the duration of which will be 10 years till 2029, is a medium-to-long-term debt financing facility for investment in viable projects for post-harvest management infrastructure and community farming assets through interest subvention and credit guarantee.
Rs. 1L crore to be provided by banks as loans
The PMO said in its statement, "Under the scheme, Rs. 1 lakh crore will be provided by banks and financial institutions as loans with interest subvention of 3% per annum and credit guarantee coverage under CGTMSE scheme for loans up to Rs. 2 crore."
With this fund, government aims to support farmers, agri-entrepreneurs, etc.
Under the Agriculture Infrastructure Fund, the government launched a new Central Sector Scheme that will support farmers, Primary Agricultural Credit Society (PACS), Farmer Producer Organisations (FPOs), agri-entrepreneurs, etc., in building community farming assets and post-harvest agriculture infrastructure. The PMO said that this would enable farmers to store their produce, sell at higher prices, and increase processing and value addition.
11 PSBs sign memorandum of agreement with Agriculture Ministry
Already, 11 of the 12 public sector banks have signed a memorandum of agreement with the Agriculture Ministry. The fund had been approved by the Union Cabinet last month as part of the Rs. 20 lakh crore economic package announced amid the COVID-19 crisis.
