A credit card plan has been modified by the government.  In her budget address for 2025–2026, Finance minister Nirmala Sitharaman proposed raising the loan ceiling from Rs 3 lakh to Rs 5 lakh under the updated interest waiver plan.  A sizable portion of the nation will gain from this.
 
Tell us about this worthwhile government initiative.
 
The government is always taking the required actions.
 
For a long time, the Center's narendra modi government has worked to enhance the lives of its people.  The government is implementing several programs (Credit Cards) to improve the lives of the populace. For example, the Modi administration launched the prime minister Kisan Samman nidhi Yojana for the nation's farmers.  The farmers really profited from this.  For the advancement and prosperity of the nation, the government has supported farmers.
 
The credit card's maximum will now be five lakhs.
 
The Kisan Credit Card limit was recently changed by the narendra modi administration at the center.  The government is offering farmers credit cards with a Rs 5 lakh maximum and reasonable interest rates. A banking instrument called the Kisan Credit Card assists farmers in meeting their financial demands for crop production and other activities as well as in purchasing farming supplies including seeds, fertilizer, and pesticides.
 
 Begin working with little interest.
 
The Kisan Credit Card program offers extremely cheap interest rates.  The Kisan Credit Card offers low interest rates for payments.  The program was introduced in 2019.  It was broadened to include working capital requirements for dairy, fishery, and animal husbandry operations.
 
Farmers made crores of rupees.
 
The Kisan Credit Card initiative has helped thousands of farmers. The Ministry of Finance reports that as of december 31, 2024, the total amount under the existing Kisan Credit Card (government credit card) accounts has surpassed Rs 10 lakh crore. 7.72 crore farmers have utilized the Kisan Credit Card. How much will the interest rate be?
 
Banks that offer short-term agricultural loans up to Rs 3 lakh at concessional interest rates of 7% annually are eligible for a 1.5% interest reduction under the updated interest subsidy plan via Kisan Credit Card.  In addition, farmers receive an extra 3% quick payback if they pay back the loan on schedule.

This saves the farmer only 4 percent interest rate. Loans up to Rs 2 lakh are given on a collateral-free basis. This ensures hassle-free access to credit to small and marginal farmers.
 
 
 
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SIBY JEYYA

01/03/2025 08:52 AM