National Bank for Agriculture and Rural Development (NABARD) is a development financial institution in India that manages the concerns related to planning, policy and operations related to credit for agriculture and rural related undertakings. NABARD is a provider of credit for agriculture related activities and rural development. The institution’s prime focus area is the development of rural areas. NABARD works around three main areas that include finance, development and supervision.
Below mentioned are the interest rates charged by NABARD for refinance to banks and NBFCs under various schemes:
|NABARD Interest Rate 2019|
|Short Term refinance assistance||4.50% onwards|
|Long Term refinance assistance||8.50% onwards|
|RRBs/ StCBs/SCARDBs||8.90% onwards|
Note: The mentioned interest rates are subject to change and depend on the sole discretion of the NABARD authority and RBI. GST and service tax shall be levied extra on the mentioned charges.
NABARD is also responsible for the development of the cottage industries, rural projects, village projects, small scale industries, etc. Let’s further discuss its features and schemes offered under NABARD authority.