Agriculture

Agriculture contributes to the growth of GDP and thus to the growth of Indian economy. In India, banks and financial institutions lend to agriculture sector. Banks role is not limited to lending to agriculture sector. But it expands to providing various services to the farmers, particularly to the Small and Marginal Farmers. Banks have established Credit Counselling Centres to help farmers understand the details of financial support provided by Banks and the various Govt. sponsored schemes and the benefits available to them under those schemes.Besides financing to agricultural and allied activities, banks implement various Government sponsored schemes for the Small and Marginal Farmers, viz. Kisan Credit Card Scheme, Pradhan Mantri Fasal Bima Yojana (PMFBY), etc. There is a Standing Committee in IBA to deliberate issues faced by banks in lending to agriculture and allied activities as well as the challenges faced by the farming community, from time to time and carry forward the views of the Committee in those matters to the Government of India / Reserve Bank of India / other concerned agencies for resolving the issues.