Under the Agriculture Infrastructure Fund, Prime Minister Narendra Modi will announce a 1 Lakh Crore funding facility by video conferencing tomorrow.
PM Narendra Modi will also allocate the 6th installment of the 17,000 crores fund to 8.5 crores farmers under the Pradhan Mantri Kisan Samman Nidhi Yojana (PM-KISAN) plan.
Thus far, the Pradhan Mantri Kisan Samman Nidhi Yojna (PM-KISAN) program, initiated on 1 December 2018, has supported more than 9.9 crore farmers with a total cash value of over Rs 75,000 Crore.
According to the reports, the funds would continue to build agricultural capital such as cold storage, recycling centres, manufacturing units and would be able to buy and export at better rates, etc.
The goal of the Agriculture Infrastructure Fund, which will run 10 years until 2029, is to focus on providing medium-to long-term debt funding service for investment in productive post-harvest management facilities and collective farm properties via interest subsidies and financial assistance.
The funds documented will be issued by banks and financial organizations as loans to main agri-credit companies, farmer groups, farmer producer organizations (FPOs), agri-entrepreneurs, start-ups, agri-tech players, SHGs, Joint Liability Groups(JLGs) and Multipurpose Cooperative Societies.
As per the reports, all loans under this lending scheme would have an interest subsidy of 3 per cent per year up to a cap of 2 per cent per year.
The agri-infra fund will be operated and tracked through the web-based management information system (MIS) portal.
In the midst of the COVID-19 crisis, the scheme succeeded in the issuance of approximately Rs 22,000 crore to help farmers. Lakhs of farmers and corporations around the country can watch the digital gathering.