In a much bigger respite to small and marginal farmers the Reserve Bank of India (RBI) today increased the limit for collateral-free loans for agricultural farmers from ₹1.66 lakh to ₹2 lakh per borrower.
“Keeping in view the overall inflation and rise in agriculture input cost over the years, it has been decided to raise the limit for collateral-free agricultural loans including loans for allied activities from the existing level of ₹1.6 lakh to ₹2 lakh per borrower. Accordingly, banks are advised to waive collateral security and margin requirements for agricultural loans including loans for allied activities up to ₹2 lakh per borrower” said RBI.
“The limit for collateral-free agriculture loans was last revised in 2019. “Taking into account the rise in agricultural input costs and overall inflation, it has been decided to increase the limit for collateral-free agriculture loans from Rs 1.6 lakh to Rs 2 lakh per borrower. This will further enhance credit availability for small and marginal farmers,” said RBI Governor Mr.Shaktikant Das.
The banks are advised to give effect to the revised instructions expeditiously and in any case not later than January 1, 2025. The banks are also advised to give adequate publicity to the above changes.
The apex bank will issue a separate circular to notify the enhancement scheme of the collateral-free loan shortly.
In terms of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations,…
Many methods and techniques are used in the analysis of financial statements including profit and…
The Government of Uttar Pradesh vide order No. 870/3-2024-39(2)/2016 dated 17.12.2025 declared following days as…
Financial statement disclosures are non-financial information that appears at the end of a financial statement.…
NPCI warns users about the rising 'Digital Arrest' scam targeting UPI users, in which scammers…
Correct and accurate compilation of financial information and its disclosure, in a manner that is…