To further strengthen agricultural financing, the government has announced enhancing the loan limit under the modified interest subvention (MIS) scheme from Rs 3 lakh to Rs 5 lakh for loans taken through Kisan Credit Card (KCC), Union Finance Minister Nirmala Sitharaman said in her Union Budget 2025-26 speech in Parliament on Saturday. Sitharaman highlighted that the KCC scheme has facilitated short-term loans for 7.7 crore farmers, including fishermen and dairy farmers.
This increase aims to provide better financial support and accessibility to farmers, ensuring timely credit availability. She said, “Kisan Credit cards facilitate short-term loans for 7.7 crore farmers, fishermen and dairy farmers.
The loan limit under the modified Interest subvention schemes will be enhanced from Rs 3 lakh to Rs 5 lakh for loans taken through KCC.” The budget includes enhancements in the Kisan Credit Card (KCC) scheme, initiatives to boost urea production, and a five-year mission for cotton productivity. Further in a move towards self-sufficiency in urea production, the Finance Minister announced the reopening of three government-run urea plants in the eastern region.
Additionally, to augment urea supply, a new plant with an annual capacity of 12.7 lakh metric tonnes will be set up at Namrup in Assam. This initiative aligns with the government’s vision of reducing dependency on imports and strengthening domestic fertilizer production.
For the benefit of lakhs of cotton-growing farmers,.
