Productivity enhancement may lead to further reduction in agriculture sector NPA: Nabard Chairman
Agriculture sector NPAs have significantly decreased to single digits, according to Nabard Chairman Shaji Krishnan V. Boosting crop productivity and enhancing credit facilities will drive further improvements, he said.
Mumbai - The Non-Performing Assets (NPAs) in India's agriculture sector have witnessed a substantial decline, and further enhancement of crop productivity, coupled with credit support, will contribute to this positive trend, declared Nabard Chairman Shaji Krishnan V on Thursday. Addressing the Global Fintech Fest, he highlighted that NPAs in the agriculture sector once reached double digits but have now receded to single digits.
The Chairman emphasized that an increase in agricultural productivity is crucial to improve farmers' repayment capacity, enabling the sector's improvement.
Noting that the growth rate of the agriculture sector currently stands at around 3.5 percent, Krishnan V stressed the necessity to accelerate this growth to achieve the ambitious 'Viksit Bharat' goal set by the Indian government. He pointed out that to realize the full potential of India's agricultural sector, every section of society must grow, preventing any disparity in development.
The Chairman elaborated on the Agri Stack, a foundational framework being developed in three layers: an identification layer using Aadhaar, a land layer, and an agriculture activity layer. He also mentioned that Nabard has implemented a loan origination system that integrates both the Agri Stack and India Stack, facilitating on-demand Kisan Credit Card loans for approximately 7.5 crore farmers.
Written by urgent.news from The Economic Times - Economy's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
