RBI Governor Sanjay Malhotra said the proposed guidelines include, inter alia, standardization of crop seasons, extension of KCC tenure to six years (from five years), alignment of drawing limits with the scale of finance (SOF) for each crop season and expenditure on technical interventions. Photo Credit: Shashank Parade
The Reserve Bank of India (RBI) plans to issue revised instructions to banks on the Kisan Credit Card (KCC) scheme, which is going to give a boost to the agriculture sector.
RBI Governor Sanjay Malhotra said the proposed guidelines include, inter alia, standardization of crop seasons, extension of KCC tenure to six years (from five years), alignment of drawing limits with the scale of finance (SOF) for each crop season and containment of expenses on technical interventions. Draft guidelines in this regard will be issued soon.
The Governor said the RBI has undertaken a comprehensive review of the KCC scheme with the aim of expanding the coverage, streamlining operational aspects and addressing emerging needs.
The KCC scheme, which was launched in 1998, caters to the financial needs of farmers at various stages of farming. The scheme provides assistance for farming and post-harvest activities, marketing credit, household consumption needs, working capital for agricultural assets and investment credit for allied activities..
According to the SBI website, guarantee up to ₹2 lakh for KCC limit and up to ₹3 lakh in case of tie-up arrangement has been waived off. Additionally, there is also a 3 percent interest rebate as prompt repayment incentive up to ₹3 lakh.
Published on February 6, 2026
