The Lok Sabha has passed the National Bank for Agriculture and Rural Development (Amendment) Bill, 2017 by voice vote. The Bill seeks to amend the National Bank for Agriculture and Rural Development Act, 1981.
NABARD is responsible for providing and regulating facilities like credit for agricultural and industrial development in the rural areas.
The bill allows the central government to increase the authorise capital of the Bank from 5 thousand crore rupees to 30 thousand crore rupees. The capital can be increased further by the government in consultation with the RBI.
Currently the Central government is holding 99.6 per cent share of the bank and rest is with RBI. The Bill transfers the share capital held by the RBI to the central government.
Replying to a debate on the bill, Minister of State for Finance Santosh Gangwar said, the government is committed to the agricultural growth and welfare of the farmers.
He said, the interest subsidy on farm loan which was 6 thousand crore rupees in 2014-15 has increased to 12 thousand crore rupees in 2016-17.
He said, NABARD will concentrate to provide loan to small scale industries related to agriculture and rural infrastructure. Earlier, members from various political parties including Congress, BJP, TMC and BJD and AIADMK participated in the debate.
NABARD is responsible for providing and regulating facilities like credit for agricultural and industrial development in the rural areas.
The bill allows the central government to increase the authorise capital of the Bank from 5 thousand crore rupees to 30 thousand crore rupees. The capital can be increased further by the government in consultation with the RBI.
Currently the Central government is holding 99.6 per cent share of the bank and rest is with RBI. The Bill transfers the share capital held by the RBI to the central government.
Replying to a debate on the bill, Minister of State for Finance Santosh Gangwar said, the government is committed to the agricultural growth and welfare of the farmers.
He said, the interest subsidy on farm loan which was 6 thousand crore rupees in 2014-15 has increased to 12 thousand crore rupees in 2016-17.
He said, NABARD will concentrate to provide loan to small scale industries related to agriculture and rural infrastructure. Earlier, members from various political parties including Congress, BJP, TMC and BJD and AIADMK participated in the debate.
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