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Budget likely to raise KCC credit limit from Rs 3 lakh to Rs 5 lakh
  • Business Standard
  • |
  • Economics (Indian Economy)
  • |
  • 2025-01-11
  • Farmers
  • Kisan Credit Card Scheme

The central government plans to raise the Kisan Credit Card borrowing limit from Rs 3 lakh to Rs 5 lakh in the FY26 Union Budget, aiming to support farmers and enhance rural demand.

Kisan Credit Card (KCC) Scheme Update

The central government is anticipated to increase the borrowing limit under the Kisan Credit Card (KCC) scheme from Rs 3 lakh to Rs 5 lakh in the upcoming Union Budget for FY26. This update is expected to be announced on February 1.

Rationale for the Increase

  • The last revision of the KCC limit occurred some time ago.
  • Continuous demands have been received by the government to raise the limit.
  • The increase aims to support farmers and boost rural demand.

The government's decision to enhance the borrowing limit under the KCC scheme reflects its commitment to addressing the financial needs of the agricultural sector and stimulating economic activity in rural areas.

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