RBI Revises Norms for Banks on Short Term Crop Loan Under KCC

Current Context: RBI modified norms for banks to claim the amount of interest subvention provided to farmers under the short-term crop loan scheme through the Kisan Credit Card (KCC) during the last fiscal.

• Pending claims for the fiscal year 2021-22 can be submitted by June 30, 2023, and they must be duly certified by statutory auditors whether it is true or false.
• Kisan Credit Card:
• KCC Scheme was first introduced in 1998 for providing timely credit support from banking, further extended for investment credit requirements of farmers in allied and non-farm activities in the year 2004.
• Minimum paperwork and simplification of documentation for withdrawal of funds from the bank.
• Flexibility to draw cash and buy inputs.
• Assured availability of credit at any time enabling reduced interest burden for the farmer.
• It also covers post-harvest expenses, consumption requirements of farmer households, farm assets, agriculture, and allied activities.
• Interest Subvention Scheme
• It aims to provide short-term crop loans up to 3 lakh to farmers at a 7% annual interest rate.
• PSBs and Private sector commercial banks offer interest subvention of 2 percent by the government.
• The policy came into force with effect from 2006-07.
• It is implemented by NABARD and SEBI.
• Present Governor of RBI: Shri Shaktikanta Das-25th Governor of RBI.

Question: 

Q.1 Kisan credit card scheme is implemented by?
a. RRB’s
b. State Co-operative
c. Commercial Banks
d. Small Finance bank

e. All of the above