Monday, 12 June 2017

Subvention and subsidies on short term crop loan up to Rs. 3 lakh

The Central Government will provide interest subvention of 5 per cent per annum to all farmers for short term crop loan up to one year for loan up to Rs 3 lakh borrowed by them during the year 2016-17. Farmers will thus have to effectively pay only 4 per cent as interest.

Farmers will get short-term crop loans of up to Rs 3 lakh at a subsidised interest rate of 4 per cent this fiscal year, provided they repay in time, or else a higher rate of 7 per cent will be charged.

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