On Thursday, the Finance Ministry said that a total of 1.22 crore Kisan Credit Cards (KCCs) have been sanctioned with a credit limit of Rs 102,065 crore as on 17 August 2020.
"In an effort to buffer the agricultural sector from the shock of COVID-19, a special saturation drive is underway to provide concessional credit to farmers through Kisan Credit Card. As on August 17, 1.22 crore KCCs have been sanctioned with credit limit of Rs 102,065 crore," Finance Ministry said in a statement.
The Ministry said this will go a long way in reviving the rural economy and accelerating agricultural growth.
"It may be recalled that as part of the Aatma Nirbhar Bharat Package, the government had announced provision of concessional credit of Rs 2 lakh crore, which is likely to benefit 2.5 crore farmers, including fishermen and dairy farmers," the ministry added.
The Kisan Credit Card of the central government wherein farmers can borrow money for as low as 2 percent interest from top banks in India. The aim has been to include small farmers into the formal financial system and not be exploited by unorganised lenders. Farmers who are either individuals/Joint borrowers of the land and involved in farming or allied activities are eligible to get a Kisan Credit Card.