How does the interest subvention scheme benefit farmers in India?
Explore the impact and significance of the interest subvention scheme for farmers.
- Under the interest subvention scheme in India, farmers receive a certain percentage of interest subsidy on their short-term crop loans.
- This scheme helps reduce the burden of high interest rates on farmers, making credit more affordable and accessible.
- By providing cheaper credit, farmers are encouraged to invest in better inputs, technology, and infrastructure, ultimately improving their agricultural productivity.
- Access to low-cost credit enables farmers to timely repay their loans and avoid falling into a debt trap, leading to financial stability.
- The interest subvention scheme plays a crucial role in ensuring food security, poverty reduction, and overall rural development in India.
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