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As the Modi government celebrates 11 years at the Centre, one of its most impactful welfare initiatives—the Kisan Credit Card (KCC)—continues to transform the lives of farmers across India. Over 4.65 crore farmers are now availing benefits under this scheme, which has freed them from the clutches of local moneylenders and ensured hassle-free access to agricultural credit.

A Lifeline for Farmers

Take the case of Ram Mohan, who once struggled to get small loans for seeds and fertilizers, often at exorbitant interest rates from moneylenders. Repaying these loans was a constant burden. But things changed dramatically when he got a Kisan Credit Card under the central government’s scheme. Today, he has direct access to affordable credit and no longer depends on exploitative lending practices.

According to Finance Minister Nirmala Sitharaman, the KCC has become a lifeline for Indian farmers. She recently announced that over 4.65 crore applications have been approved under the scheme, with a cumulative credit limit of ₹5.7 lakh crore.

Major Benefits of the Kisan Credit Card Scheme

1. Loan Limit Increased to ₹5 Lakh

   • Initially capped at ₹3 lakh, the credit limit has now been raised to ₹5 lakh.

   • The credit can be used for seeds, fertilizers, pesticides, and even marketing of crops.

2. Huge Savings on Interest

   • The interest rate is 7%, but if repayment is made on time, the farmer pays only 4% due to interest subvention.

   • This translates to a savings of ₹9,000 per ₹1 lakh loan repaid on time.

3. No More Moneylenders

   • Easy access to institutional credit has eliminated the need for borrowing from private lenders.

4. Eligibility Expanded

   • Now not only farmers, but also fishermen and dairy farmers are covered under the scheme.

   • This widens the benefit base to 7.7 crore agricultural workers.

Growing Budget and Government Commitment

The Modi government’s commitment to agriculture is reflected in the fivefold increase in the agricultural budget:

• From ₹21,500 crore in 2013 to ₹1.22 lakh crore in 2024.

• This surge underlines the government's focus on farmer welfare and rural development.

How to Apply for a Kisan Credit Card

Any farmer can apply for a KCC by:

1. Visiting the nearest bank (public/private/rural).

2. Submitting land ownership documents, Aadhaar, and bank account details.

3. Filling the KCC application form.

Some banks also offer online application options through their official websites or mobile apps.

Additional Benefits

• Annual limit increase: The credit limit increases by 10% every year.

• Use beyond agriculture: Credit can be used for allied activities such as poultry, fisheries, and animal husbandry.

• Flexible repayment options: Linked to the crop cycle and income flow.

Final Word

With rising input costs and market uncertainties, the Kisan Credit Card is a financial shield for farmers. It empowers them with liquidity, reduces dependence on informal sources, and enables timely investment in agriculture.

If you're a farmer and haven't yet applied, now is the time to act. Visit your nearest bank or go online and secure your KCC to enjoy low-interest loans and financial freedom.