Modified Interest Subvention Scheme (MISS) for Farmers

Current Context : The Union Cabinet approved the continuation of the Modified Interest Subvention Scheme (MISS) for 2025–26 to provide affordable short-term credit to farmers via Kisan Credit Cards (KCC).

Features :

• Type of Scheme: Central Sector Scheme
• Loan Limit: Short-term agri-loans up to ₹3 lakh
• Subsidised Interest Rate:
  • Nominal rate: 7%
  • Effective rate: 4% for prompt repayment (3% subvention benefit)
• Allied Sectors: For animal husbandry & fisheries, benefit up to ₹2 lakh

Budget & Implementation

• Total Outlay: ₹15,640 crore (for FY 2025–26)
• Lending Institutions: Public Sector Banks, Cooperative Banks, RRBs, and eligible Private Banks