{"id":9018,"date":"2024-04-18T10:06:30","date_gmt":"2024-04-18T10:06:30","guid":{"rendered":"https:\/\/www.indifi.com\/blog\/?p=9018"},"modified":"2024-05-02T11:05:28","modified_gmt":"2024-05-02T11:05:28","slug":"is-the-nabard-scheme-right-for-you","status":"publish","type":"post","link":"https:\/\/www.indifi.com\/blog\/is-the-nabard-scheme-right-for-you\/","title":{"rendered":"NABARD Scheme – Full Form, Meaning, Loan Scheme & Eligibility"},"content":{"rendered":"
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The National Bank for Agriculture and Rural Development<\/strong><\/em>, also known as NABARD, is a development bank in India. It focuses on rural development. It was established on 12 July 1982, by the special act of the Parliament of India. The main aim of NABARD is to promote sustainable and equitable agriculture and rural development. Here are few green business ideas<\/a>.<\/p>\n\n\n\n

The NABARD Loan Scheme contributes to the improvement of agricultural and rural economics by providing financial support. It promotes the rural infrastructure industry as well as similar fields. <\/p>\n\n\n\n

NABARD scheme’s primary focus is the flow of loans for agricultural and other economic activities in rural areas. <\/p>\n\n\n\n

NABARD Scheme Highlights <\/strong><\/td><\/tr>
Plans and Interest Rates for Direct Lending (p.a.)<\/strong><\/td><\/tr>
Warehouse Infrastructure Fund (WIF) <\/strong><\/td>Bank rate for state governments is 1.50%.State Government Corporation’s bank rate is 1.50% (with a guarantee from the state government).PLR + Risk Premium – Businesses backed or held by the State or Federal Government (without State Government Guarantee)<\/td><\/tr>
Current Bank Rate<\/td>4.25 %<\/td><\/tr>
Current PLR<\/td>7.75 % <\/td><\/tr>
Food Processing Fund (FPF)<\/strong><\/td>Bank Rate for State Governments: 1.50%Bank Rate: 1.50% for State Government-Promoted Entities (with Government Guarantee)PLR + Risk Premium – State Government-Promoted Entities (without Government Guarantee)<\/td><\/tr>
Current Bank Rate for FPF<\/td>4.25 %<\/td><\/tr>
Current PLR for FPF<\/td>5.80%<\/td><\/tr>
Short Term Refinance Assistance<\/strong><\/td>For the following entities, 4.50%:State Cooperative Banks for Crop Loan FinancingRRBs to support agricultural lendingDirect funding of crop loans by DCCBsCommercial Banks and RRBs about their funding of agriculture loans to PACS
The annual product of 7.75% is allocated to ST – Additional SAO\/ST(Others)\/ST (SAO) – SCARDBs. Supplementary SAO (StCBs and RRBs)7.90% for the Annual Product of ST (SAO) -SCARDBs8.00% for Short-Term Crop Loans Conversion to Medium-Term Loans for StCBs and RRBs<\/td><\/tr>
Long Term Refinance Assistance<\/strong><\/td>5.80% – Long-term loan to State Government to add to Cooperative Credit Institutions’ Share Capital6.00% – LT loan to State Government to add to RRBs’ share capital<\/td><\/tr>
Regional Rural Banks (RRBs) & State Cooperative Banks (StCBs)<\/strong><\/td>8.20% for five years or longer when refinancing8.20% \u2014 Three- to less than five-year refinancing8.10% – 18-month to less than 3-year refinancing<\/td><\/tr>
State Cooperative Agriculture and Rural Development Banks (SCARDBs)<\/strong><\/td>8.30% for refinancing longer than five years8.30% – Refinance for a period of three to five years8.20% – 18-month to less than 3-year refinancing<\/td><\/tr>
Direct Lending<\/strong><\/td>1.50% is the bank rate.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

The NABARD authority and RBI alone have the final say over the interest rates listed, which are subject to change. On top of the above fees, there will be additional costs for GST and service tax. 1 The Interest Subvention of 1.5% will be maintained through FY 2023\u20132024. <\/p>\n\n\n

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