Budget 2025: Good News for Farmers, Kisan Credit Card Limit Increased to ₹5 Lakh

Kisan Credit Card

Krishi Dunia

• 01 Feb, 2025 03:33 PM IST ,
• Updated Sat, 01 Feb 2025 06:59 PM

Modi Government 3.0 Presents Its First Full Budget:

On February 1, 2025, Finance Minister Nirmala Sitharaman presented the first full budget of Modi 3.0 government. In a major relief for millions of farmers across the country, the government has increased the Kisan Credit Card (KCC) loan limit from ₹3 lakh to ₹5 lakh. This decision will provide more financial assistance to farmers for agricultural activities and strengthen their economic condition.

What is the Kisan Credit Card (KCC) Scheme and How Does It Help?

The Kisan Credit Card (KCC) is an ambitious government scheme that provides loans at low interest rates to farmers. Through this scheme, farmers can easily get credit for seeds, fertilizers, irrigation, agricultural equipment, animal husbandry, and other farming activities.

Previously, farmers were eligible for a maximum loan of ₹3 lakh, but now this limit has been increased to ₹5 lakh.

How Will Farmers Benefit?

✅ Higher Loan Limit – Farmers can now borrow more funds than before.
✅ Increased Investment in Agriculture – Easier access to essential farming resources.
✅ Low-Interest Loans – Farmers won’t need to take high-interest loans from private lenders.
✅ Reduced Farming Costs – Easier purchase of seeds, fertilizers, and other essentials.

Documents Required for Kisan Credit Card (KCC):

If you wish to apply for a Kisan Credit Card (KCC), you will need the following documents:

• Aadhaar Card
• Voter ID Card
• Passport-size Photograph
• Driving License (if available)
• Agricultural Land Records

With these documents, you can visit your nearest bank and apply for a KCC loan.

When Was the Kisan Credit Card Scheme Launched?

The Kisan Credit Card scheme was launched in 1998 by the Government of India in collaboration with the Reserve Bank of India (RBI) and NABARD (National Bank for Agriculture and Rural Development). Its main objective was to provide farmers with easy and affordable credit to help them continue farming without financial difficulties and boost the country’s agricultural productivity.

How to Apply for a Kisan Credit Card (KCC)?

If you want to apply for a Kisan Credit Card, the process is simple:

• Visit the nearest bank branch – where Kisan Credit Cards are issued.
• Fill out the application form – and submit it along with the required documents.
• Verification by the bank – The bank will review your documents.
• Card issuance – If all details are correct, the bank will issue your Kisan Credit Card.

The increase in the Kisan Credit Card loan limit to ₹5 lakh in Budget 2025 is a great relief for farmers. This will not only strengthen their financial condition but also reduce farming costs and help them adopt advanced agricultural practices.

If you are a farmer and haven’t applied for a Kisan Credit Card yet, visit your nearest bank today and take advantage of this scheme