RBI/2013-14/398
RPCD.No.FSD.BC.71/05.04.02/2013-14
December 4,
2013
To,
The Chairman /
Managing Director
All Public & Private Sector Scheduled
Commercial Banks
Dear Sir
Union Budget -
2013-14
Interest Subvention Scheme
As directed by the
Government of India and in pursuance of the budget announcement made
by the Finance Minister relating to the Interest Subvention Scheme
2013-14, Interest subvention of 2 % p.a. will be made available to
Public Sector Banks (PSBs) and Private Sector Scheduled Commercial
Banks (in respect of loans given by their rural and semi-urban
branches) on their own funds used for short-term crop loans up to
Rs.3,00,000/- per farmer provided the lending institutions make
available short term credit at the ground level at 7% per annum to
farmers. This amount of interest subvention will be calculated on the
crop loan amount from the date of its disbursement/drawal up to the
date of actual repayment of the crop loan by the farmer or up to the
due date of the loan fixed by the banks whichever is earlier, subject
to a maximum period of one year.
2. Besides, additional
interest subvention @3% will be available to the prompt paying
farmers from the date of disbursement of the crop loan up to the
actual date of repayment by farmers or up to the due date fixed by
bank for repayment of crop loan, whichever is earlier, subject to a
maximum period of one year from the date of disbursement. This also
implies that the prompt paying farmers would get short term crop
loans @4% per annum during the year 2013-14. This benefit would not
accrue to those farmers who repay after one year of availing such
loans.
3. Further, in respect
of KCC Scheme, the GoI has clarified that loans granted only for
categories at S.No. (i) and (ii) out of the following six categories
are covered under the Interest Subvention Scheme, which should be
computed and segregated accordingly for claiming interest subvention
:
To meet the short
term credit requirements for cultivation of crops
Post-harvest
expenses
Produce Marketing
loan
Consumption
requirement of farmer household
Working capital for
maintenance of farm assets and activities allied to agriculture,
like dairy animals, inland fishery, etc.
Investment credit
requirement for agriculture and allied activities like pump sets,
sprayers, dairy animals, etc.
4. The benefits of
interest subvention will also be available to small and marginal
farmers having Kisan Credit Card for a further period of up to six
months post harvest on the same rate as available to crop loan
against negotiable warehouse receipt for keeping their produce in
warehouses.
5. Banks may give
adequate publicity to the above scheme so that the farmers can avail
the benefits.
6. It is also advised as
under:-
i) Claims in respect of
2 % interest subvention and 3 % additional interest subvention may be
submitted in Formats
I and II
(enclosed herewith) respectively to the Chief General Manager, Rural
Planning and Credit Department, Reserve Bank of India, Central
Office, Shahid Bhagat Singh Road, Fort, Mumbai - 400001.
ii) In respect of 2 %
interest subvention, banks are required to submit their claims on a
half-yearly basis as at September 30, 2013 and March 31, 2014, of
which, the latter needs to be accompanied by a Statutory Auditor's
certificate certifying the claims for subvention for the entire year
ended March 31, 2014 as true and correct. Any remaining claim
pertaining to the disbursements made during the year 2013-14 and not
included in the claim for March 31, 2014, may be consolidated
separately and marked as an 'Additional Claim' and submitted duly
audited by Statutory Auditors certifying the correctness.
iii) In respect of the
3% additional subvention, banks may submit their one-time
consolidated claims pertaining to the disbursements made during the
entire year 2013-14 latest by April 30, 2015, duly audited by
Statutory Auditors certifying the correctness.
Yours faithfully,
(Madhavi Sharma)
Chief
General Manager
Claim for 2
Per cent Interest Subvention on
Short-term Crop Loan up to Rs.3
lakh for the year 2013-14
Name of the Bank
___________________________________________
Statement
for the half year ended
September 2013 / March 2014/ Additional
Claim.
|
Total short term production credit
at 7% p.a
|
Amount of subvention claimed
(Rs.
in actuals)
|
No. of accounts.
(in thousands)
|
Amount
(Rs. lakh)
|
| Loans up to Rs.50,000/- |
|
|
|
| Loans above Rs.50,000/- and up to Rs.3 lakh. |
|
|
|
| Total |
|
|
|
We certify having
disbursed the above loans at 7% p.a. up to Rs.3 lakh by way of
short-term production credit to the farmers during the year 2013-14.
Authorised Signatory
Date :
(This claim format needs
to be duly certified by Statutory Auditors with the Firm Registration
Number and Membership Number of all Signatories)
One - time
Claim for Additional 3 per cent Subvention for timely
Repayment of
Short-term Crop Loans up to Rs.3 lakh disbursed in 2013-14
Name of the Bank :
___________________________________________
|
Total short term production credit
upto Rs.3 lakh
|
Total short term production credit
which were repaid in time
|
Amount of additional subvention
claimed @3%
(Rs. in actuals)
|
No. of accounts.
(in thousands)
|
Amount
(Rs.lakh)
|
No. of accounts.
(in thousands)
|
Amount
(Rs.lakh)
|
| Loans up to Rs.50,000/- |
|
|
|
|
|
| Loans above Rs.50,000/- and up to Rs.3 lakh. |
|
|
|
|
|
| Total |
|
|
|
|
|
We certify that the
above loans for which the claim is being made were repaid in time and
the benefit of additional 3 percent incentive subvention has already
been passed on to the account holders, thereby bringing down the
interest rate for such farmers to 4 per cent per annum for short term
production credit up to Rs.3 lakh disbursed during 2013-14 for these
farmer.
Authorised Signatory
Date :
(This claim format needs
to be duly certified by Statutory Auditors with the Firm Registration
Number and Membership Number of all Signatories)
