Finance Minister Nirmala Sitharaman on Saturday said the government \nis monitoring farm credit given by banks in rural areas, adding that she\n expects to meet the increased target of Rs 15 lakh crore for the next \nfiscal. The government in Budget 2020-21 has raised the farm loan \ndisbursal target by 11 percent to Rs 15 lakh crore for the next fiscal \nand allocated Rs 1.6 lakh crore to implement various plans in \nagriculture and allied sectors as it chases the goal of doubling farmers\n income by 2022.<\/p>\n\n\n\n
The government has allocated Rs 75,000 crore for the PM-KISAN scheme \nfor the next fiscal, which is same as the budget estimate for this \nfiscal but higher than revised estimate of Rs 54,370 crore. \u201cCredit \nlimit has been expanded. I am sure it is based on local ground level \nrequirement\u2026we expect the demand to grow and credit requirements to also\n meet up with it. I am actually closely monitoring banks and their \nextension of credit facility particularly to rural areas. So I think \nwe\u2019ll be able to meet that,\u201d she told reporters after addressing the \ncentral board of RBI here.<\/p>\n\n\n\n
The farm credit target for the current fiscal has been set at Rs 13.5\n lakh crore. Normally, farm loans attract an interest rate of 9 percent.\n But the government is providing 2 percent interest subsidy to ensure \nfarmers get short-term farm loan of up to Rs 3 lakh at an effective rate\n of 7 percent per annum.<\/p>\n\n\n\n
With regard to proposed mega consolidation of public sector banks, \nthe finance minister said there was no discussion on the issue at the \nRBI board meeting on Saturday. \u201cI don\u2019t see any reason to go back or any\n reason which is particularly causing any delay for any notification\u2026you\n will hear on it as it when it comes,\u201d she said.<\/p>\n\n\n\n
Last year in August, the government announced merger of 10 public \nsector banks into four. United Bank of India and Oriental Bank of \nCommerce are to be merged with Punjab National Bank, making the proposed\n entity the second largest public sector bank (PSB) from April 1 this \nyear. It was also decided to merge Syndicate Bank with Canara Bank, and \nAllahabad Bank with Indian Bank. Similarly, Andhra Bank and Corporation \nBank are to be consolidated with Union Bank of India.<\/p>\n\n\n\n
In April 2019, Bank of Baroda, in the first three-way merger \nexercise, amalgamated Vijaya Bank and Dena Bank with itself. SBI had \nmerged five of its associate banks \u2014 State Bank of Patiala, State Bank \nof Bikaner and Jaipur, State Bank of Mysore, State Bank of Travancore \nand State Bank of Hyderabad as well as Bharatiya Mahila Bank with itself\n effective April 2017<\/p>\n","protected":false},"excerpt":{"rendered":"
Finance Minister Nirmala Sitharaman on Saturday said the government is monitoring farm credit given by banks in rural areas, adding that she expects to meet the…<\/p>\n","protected":false},"author":1,"featured_media":1591,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[54,22],"tags":[],"class_list":["post-1590","post","has-post-thumbnail","category-latest-news","category-national"],"_links":{"self":[{"href":"https:\/\/earlypostdaily.com\/index.php\/wp-json\/wp\/v2\/posts\/1590","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/earlypostdaily.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/earlypostdaily.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/earlypostdaily.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/earlypostdaily.com\/index.php\/wp-json\/wp\/v2\/comments?post=1590"}],"version-history":[{"count":0,"href":"https:\/\/earlypostdaily.com\/index.php\/wp-json\/wp\/v2\/posts\/1590\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/earlypostdaily.com\/index.php\/wp-json\/wp\/v2\/media\/1591"}],"wp:attachment":[{"href":"https:\/\/earlypostdaily.com\/index.php\/wp-json\/wp\/v2\/media?parent=1590"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/earlypostdaily.com\/index.php\/wp-json\/wp\/v2\/categories?post=1590"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/earlypostdaily.com\/index.php\/wp-json\/wp\/v2\/tags?post=1590"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}