Agriculture loan applying process to go online

The Centre has asked NABARD to make the process of agriculture loan easier through online application.
Agriculture loan applying process to go online

The Centre has urged the National Bank for Agriculture and Rural Development (NABARD) that the applying process for agriculture loan should be conducted online and provided on scheduled timeframe. Expressing his views, Radha Mohan Singh, Union Minister for Agriculture and Farmers’ Welfare asked NABARD during the National Seminar on “Doubling of Farmers’ Income by 2022” in New Delhi to make its agriculture loan process easier along with its banking facilities so that they can grant the required loan on time.

“It would be challenging for the banks to make the loan applying process online due to poor digital literacy with the farming community. Thus, the banks will need to make farmers digitally aware before implementing the process,” remarks a banking expert.

The Agriculture Minister further said that they should also work on to standardize the documents concerned for the sanction of loan. He said that digitalization process related to land records in most of the states has been completed so as to sanction loan expeditiously to the farmers. Apart from this, online mortgage is also being facilitated. Simultaneously, the schemes related to interest subvention and relaxations on timely repayment of the loan are also continued this year so that farmers might obtain agriculture loan at the rate of 4 per cent interest. Recently a sum of Rs. 18,000 crore has been approved for interest subventions.

Singh further added that to provide bank loan to landless farmers, the Government has provided financial help of Rs 10,225 crore to 10.49 lakh joint liability groups in two years. To fulfil the loan needs of farmers, a target of Rs 9 lakh crore has been earmarked for the year 2016-17 and we hope that this will be achieved.  

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