How is the Indian government planning to boost pledge financing for farmers

Government to launch ₹1,000 cr Credit Guarantee Fund to boost pledge financing for farmers
  • The Indian government plans to launch a ₹1,000 crore Credit Guarantee Fund to boost pledge financing for farmers.
  • This fund will provide credit guarantee cover of up to 75% for collateral-free loans given by banks to farmers against their warehouse receipts.
  • It aims to enable farmers to avail of better credit terms and access more capital for their agricultural activities.
  • By supporting pledge financing, the government intends to enhance farmers' income and promote better marketing opportunities for agricultural produce.
  • This initiative is part of the government's efforts to strengthen the agricultural sector and improve the financial inclusion of farmers in India.
Answered 7 months ago
Arun Preparing for Civil Services