RBI Revamps Kisan Credit Card Rules: Longer Loans, Wider Coverage for Farmers

• RBI issues revised draft guidelines for Kisan Credit Card (KCC) scheme, aiming to expand coverage and streamline operations.
• New framework applies to commercial banks, small finance banks, regional rural banks, and rural co-operative banks.
• Key changes include standardized crop seasons (12 months for short-duration, 18 months for long-duration) and extended KCC loan tenure to 6 years.
• Drawing limits aligned with scale of finance for each crop season to ensure adequate credit based on cultivation costs.
• Scope of eligible expenses expanded to include technological interventions like soil testing, weather forecasts, and organic certification.