Regulatory Alerts2026-06-19
Added · Updated
Reserve Bank of India [Rural Co-operative Banks - Kisan Credit Card (KCC) Scheme] Directions, 2026
These Directions establish the framework for Rural Co-operative Banks to extend composite Kisan Credit Card facilities with a six-year tenure to eligible farmers, tenant cultivators, and Self-Help Groups for crop cultivation, allied activities, and investment needs. The short-term credit limit is calculated based on the Scale of Finance multiplied by cultivation area, plus specified percentages for post-harvest expenses, maintenance, and insurance, while marginal farmers may access a flexible credit limit of ₹10,000 to ₹50,000 without land valuation. Banks are required to waive collateral security and margin requirements for agricultural loans up to ₹2 lakh per borrower, with a higher waiver limit of ₹3 lakh permitted for loans against hypothecation of crops or stock. The Directions apply to loans sanctioned from January 01, 2027, and mandate adherence to specific interest rate, reporting, and prudential norms.
More like this from RBI
RBI published 75 documents in the last 30 days. We email you each new one the day it's published.