As India moves towards achieving its goal of doubling farmers’ income by 2022, the Kisan Credit Card scheme is playing a crucial role in facilitating financial inclusion and empowering farmers to access affordable credit. The Kisan Credit Card (KCC) scheme was launched in 1998 to provide farmers with flexible and convenient credit for their farming needs.
Under the Pradhan Mantri Kisan Samman Nidhi (PM Kisan) scheme, the government is providing direct cash transfers to eligible farmers. Farmers are receiving Rs. 6,000 per year in three equal instalments. Since the launching of the PM Kisan scheme, the demand for Kisan Credit Cards has increased substantially.
The saturation of Kisan Credit Cards is essential for PM Kisan beneficiaries to reach maximum financial inclusion. The Kisan Credit Card can be applied for by farmers at any time, and all eligible farmers should have a Kisan Credit Card to avail of the benefits of the PM Kisan scheme.
In recent years, various banks and financial institutions have been implementing measures to increase Kisan Credit Card penetration in rural India. These measures include awareness campaigns and training programs on the benefits of the KCC scheme.
To further promote the KCC and ensure its saturation among farmers, some states have adopted measures such as linking the issuance of KCC to land records, ensuring the availability of KCC forms at the gram panchayat level and the opening of KCC camps.
For PM Kisan beneficiaries, having a Kisan Credit Card can provide them with various benefits, including timely access to credit, lower interest rates than other credit options, and flexibility in repayment. With the KCC, farmers can access credit for various farming expenses like crop production, animal husbandry, and other agriculture-related activities.
In conclusion, the Kisan Credit Card is a crucial tool in facilitating financial inclusion and empowering farmers in India. With its saturation, farmers can benefit from timely access to affordable credit, increase their productivity, and improve the standard of living. It is, therefore, essential that all PM Kisan beneficiaries have a KCC, and measures should be taken to increase KCC penetration in rural areas, particularly among small and marginal farmers.