Volume : VI, Issue : VII, July - 2017

Agriculture Credit In India An Institutional Framework

Dr. V. K. Gautam

Abstract :

 Agriculture credit is important in any effort at increasing agricultural production,  thereby eliminating rural poverty in India and providing employment opportunities. As far as institution sources are concerned, the first institution established and promoted was the institution of 

co–operative credit societies. The co–operative movement in India was started way back in 1904. However, its development was very slow. Even in 1951, co–operative societies provided only 3.1% of total rural credit. Hence the dominance of money lenders in agricultural credit continued. It was only with the nationalization of commercial banks in 1969 and 1980 that the grip of money lenders on agricultural credit could be reduced. In 1975, the government set up Regional Rural Banks (RRBs).

Thus by the end of 1976, there emerged three separate institutions for providing rural credit which is often described as multi agency approach. In 1982, NABARD was set up. India now has a wide network of rural finance institutions. There are more than 40,000 commercial bank aches, 14500 RRBs and about 1,00,000 rural credit co–operative societies.

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Article: Download PDF   DOI : 10.36106/ijsr  

Cite This Article:

Dr. V. K. Gautam, Agriculture Credit In India An Institutional Framework, INTERNATIONAL JOURNAL OF SCIENTIFIC RESEARCH : VOLUME-6 | ISSUE-7 | JULY-2017

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