10 lakh crore rupees loan given under Kisan Credit Card

A total of over ten lakh crore rupees in loans has been given under the Kisan Credit Card, benefitting seven crore 72 lakh farmers. The Kisan Credit Card (KCC) is a banking product that provides farmers with timely and affordable credit for purchasing agricultural inputs such as seeds, fertilizers, and pesticides. 

The Union Finance Ministry said the government provides an interest subvention of 1.5 percent to banks for providing short-term agricultural loans through KCC up to three lakh at



a concessional interest rate of 7 percent per annum. The Ministry also stated that an additional Prompt Repayment Incentive of 3 percent is provided to farmers on timely repayment of loans, which effectively reduces the rate of interest to 4 percent for farmers. 

It added that the amount under operative Kisan Credit Card accounts has more than doubled from 4.26 lakh crore rupees in 2014 to over ten lakh crore rupees in December 2024.