Second tranche of Covid-19 package announced by Nirmala Sitharaman on Thursday provides for emergency fund of Rs 30,000 crore for 3 crore farmers and concessional loan of Rs 2 lakh crore for 2.5 lcrore farmers.
In the second tranche of special Covid-19 package, the government has announced more credit support for farmers in the wake of coronavirus outbreak. (Photo: PTI)
- After migrants, farmers were in focus of second tranche of Covid-19 package
- Sitharaman unveiled emergency fund of Rs 30,000 crore for small farmers
- A concessional loan scheme of Rs 2 lakh crore for 2.5 crore farmers was unveiled
The government on Thursday announced an emergency working capital of Rs 30,000 crore for small and marginal farmers. In addition, the government announced a Rs 2 lakh crore concessional credit scheme for farmers and fishermen.
Announcing the measures, Union Finance Minister Nirmala Sitharaman said, “Additional Emergency Working Capital Funding of Rs 30,000 through NABARD will be made available for farmers. NABARD is already extending credit to farmers. But this is an additional fund. This will benefit around 3 crore farmers, mostly small and marginal.”
She said this fund is in addition to Rs 90,000 crore support provided by the National Bank for Agriculture and Rural Development (NABARD), which extends credit for agricultural activities. This move will help small and marginal farmers in post-harvest rabi and current kharif crops, the minister said.
Sitharaman made the announcement while unveiling the second tranche of special Covid-19 package, announced by Prime Minister Narendra Modi on Tuesday in his address to the nation. PM Modi said the special Covid-19 package worth Rs 20 lakh crore is aimed at boosting coronavirus-hit India’s economy.
Accompanied by MoS Finance Anuragh Thakur, Sitharaman also unveiled a Rs 2 lakh crore concessional credit scheme for farmers. To be extended through Kisan Credit Cards, this concessional loan scheme is aimed at helping 2.5 crore farmers, Sitharaman said.
She said a special drive would be carried out to provide concessional loan to PM-Kisan beneficiaries through Kisan Credit Cards. The scheme covers fishermen and animal husbandry farmers.
Rs 2 lakh crore Concessional credit boost to 2.5 crore farmers through #KisanCreditCards; Fishermen and Animal Husbandry farmers will also be included in this drive#AatmaNirbharBharatPackage pic.twitter.com/Dbv3D7wpqt
— PIB India #StayHome #StaySafe (@PIB_India) May 14, 2020