There is good news for farmers taking loans from Kisan Credit Card (KCC). Reserve Bank of India (RBI) has issued draft of new rules to further improve this scheme. Many important changes have been made in this draft, from increasing the loan repayment period to including the expenditure on new technology in farming. RBI has also sought suggestions from people on these rules till March 6, 2026.
Now KCC loan can be repaid in 6 years
According to the new draft, farmers will now be able to repay the KCC loan for a period of up to 6 years. Earlier this time was less, due to which there was pressure on the farmers to return the money quickly. Now with a longer period, it will be easier to repay the loan.
Along with farming, loan will also be available on technology
Now under KCC, not only farming or animal husbandry can be spent but also on new technology. These expenses will also be included in the loan.
- soil investigation.
- Equipment for taking weather information.
- Certificate of organic farming.
- Training related to modern farming.
The timing of the harvest season was also decided
RBI has also made the crop season uniform. For small crops: 12 months. For long crops: 18 months. Earlier, every bank had different rules, which caused problems. Now there will be a similar system in the entire country.
Loan limit will now be available according to actual expenditure
It has also been decided in the new rules that the loan amount given to the farmers will now be decided according to the actual expenditure of farming. With this, farmers will not face the problem of less money and there will be no need to borrow in between.
New features included in 20% additional amount
Earlier, 20% additional amount was available for farming tools and repairs. Now expenses related to new technology have also been included in this. That means farmers will be able to take advantage of more facilities.
What will be the benefit to the farmers?
Farmers will get many benefits from these new rules –
- The pressure to repay the loan will reduce
- You will get money as per need
- Modern farming will be promoted
- The compulsion to take loans from moneylenders will reduce
- Farming will become more safe and profitable
- Overall, the KCC scheme will now be stronger than before.
When can I give feedback?
RBI has sought suggestions from farmers, banks and common people till 6 March 2026. People can send their opinions through RBI website or email. After this the final rules will be implemented.
What were the problems earlier?
Earlier there were many problems in KCC scheme
- Different rules for every bank
- Loan period reduced
- Technology expenses not included
Farmers did not get full money
Now an attempt has been made to remove these shortcomings in the new draft. This new draft of RBI has brought great relief for the farmers. This will make farming easier, manage expenses and will also help in increasing income.
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