Cabinet Approves Continuation of Modified Interest Subvention Scheme for FY 2025-26

The Union Cabinet, led by Prime Minister Narendra Modi, has approved the continuation of the Modified Interest Subvention Scheme (MISS) for the financial year 2025-26, maintaining the interest subvention rate at 1.5%. This scheme aims to provide affordable short-term credit to farmers through Kisan Credit Cards (KCC), allowing loans of up to Rs.3 lakh at a subsidized interest rate of 7%. Farmers who repay loans promptly can benefit from an additional incentive, reducing their effective interest rate to 4%. The decision supports the government's commitment to enhancing agricultural productivity and financial inclusion for small farmers.

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