Nabard has allocated Rs 7,515.45 crore for crop loan refinance in Andhra Pradesh for the financial year 2012-13. The loan will be allocated to Co-operative Banks and Regional Rural Banks in Andhra Pradesh for supporting seasonal agricultural operations during the year.
This is an increase of 41.6 per cent over the Rs 5,307-crore disbursed during 2011-12.
Out of the total Rs 7,515 crore, an amount of Rs 4,075 crore will be earmarked for co-operative banks and Rs 3,440.45 crore for the five regional rural banks. This would help the two banking organisations to achieve their targets of ground level credit of Rs 10,329 crore and Rs 7425 crore respectively.
Andhra Pradesh accounts for 12 per cent of the total refinance provided by Nabard for supporting seasonal agricultural operations at the all-ndia level, a press release said
The Nabard has also introduced a new scheme of lending to primary agricultural credit societies through the regional rural banks for which an amount of Rs 100 crore has been earmarked exclusively.
Under this window, the Nabard would provide refinance to the banks and societies which extend finance to the farmers.
Nabard provides refinance for crop loans at 4.5 per cent to enable banks to extend crop loans to farmers at 7 per cent a year up to Rs 3 lakh per borrower.