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Agriculture Interest Subvention & Rural Support (NABARD)

Central Scheme (All India) Finance Application Mode: OFFLINE Active
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Verified Scheme Data Profile

This profile has been independently compiled from official gazette notifications and verified web domains. Authority: Ministry of Finance • State/Region: Central Scheme (All India) • Last Audited: 30 Jul 2026

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Provides short‑term crop loans at subsidised interest and refinance support for rural infrastructure through NABARD’s cooperative network.

Detailed Summary

Overview

The Agriculture Interest Subvention Scheme (ISS) administered by NABARD channels concessional credit to the agricultural sector. Under the scheme, short‑term crop loans are offered at a nominal interest rate, and a prompt‑repayment incentive further reduces the effective cost of borrowing. In parallel, NABARD extends refinance facilities to cooperative banks and Primary Agricultural Credit Societies (PACS) to mobilise funds for rural infrastructure projects such as irrigation, storage and market yards.

Mechanism

Eligible borrowers approach their nearest PACS or cooperative bank, which forwards the application to NABARD for sanction. Upon approval, the lending institution disburses the loan directly to the farmer. The interest subvention is credited by NABARD, ensuring that the borrower pays the subsidised rate.

Scope

The scheme is a central initiative applicable across all states, covering all notified crops and extending to tenant farmers and oral lessees who cultivate the land.

Key Benefits & Financial Assistance

Comparison Criteria Benefits
Key Benefits
  • Short‑term crop loans up to Rs. 3 Lakhs at 7 % interest
  • Additional 3 % prompt‑repayment incentive, reducing effective rate to 4 %
  • Refinance facility for cooperative banks and PACS for rural infrastructure projects

Eligibility Criteria Profile

Comparison Criteria Eligibility
Occupation Status Farmer
Domicile State All India (Central Scheme)

Application Process Guide

  1. Submit a loan application to the nearest Primary Agricultural Credit Society (PACS) or cooperative bank.
  2. Attach land ownership/tenancy documents, crop plan and identity proof.
  3. The PACS forwards the application to NABARD‑approved refinance channel.
  4. Upon sanction, credit is disbursed directly to the farmer’s bank account.

Common FAQs regarding this Yojana

The scheme covers short‑term crop loans for agricultural operations and refinance assistance for rural infrastructure projects such as irrigation, storage and market facilities.

The base interest rate is 7 %; a 3 % incentive for timely repayment reduces the effective rate to 4 % for eligible borrowers.

Applications are accepted only through Primary Agricultural Credit Societies, cooperative banks and other NABARD‑approved rural financial institutions; the scheme does not provide an online portal.