Agriculture credit target increased to Rs 8.5 trillion in budget 2015-16

NEW DELHI: The central government has raised agricultural credit target by Rs50000 crore to Rs 8.5 trillion for 2015-16. It was announced in the budget statement by Finance Minister, Arun Jaitley. Also, announced financial support to enhance irrigation and soil health for higher agriculture productivity.

‘Farm credit underpins the efforts our hardworking farmers and I have therefore set up an ambitious target of Rs8.5 trillion of credit during the year 2015-16. I am sure banks will surpass (this target),’ said Finance Minister, Arun Jaitley while presenting the budget for 2015-16 in Parliament.

To support the agriculture sector with the help of effective and hassel free agriculture credit with special focus on small and marginal farmers, the finance minister said, ‘I propose to allocate Rs 25000 crore in 2015-16 to the corpus of Rural Infrastructure Development Fund set up NABARD.’

He also announced an allocation of Rs 15000 croe for long term rural credit fund, Rs 45000 crore for short term cooperative rural credit refinance fund and Rs 15000 crore for short term RRB (regional rural banks) refinance fund.