MUMBAI: The National Bank for Agriculture and Rural Development (Nabard) will set up a subsidiary, NABSanrakshan Trustee, to provide a guarantee for agriculture and rural development loans.
To start with, the guarantee will be provided for loans under the animal husbandry infrastructure-CGAHI scheme. This was announced as part of the Animal Husbandry Infrastructure and Development Fund (AHIDF), under the PM’s ‘Atmanirbhar Bharat’ programme. It will also support financing of farmer producer organisations (FPOs) as part of the central sector scheme for these entities.
The apex bank for agri finance also announced its results for the half-year ended September 2020. The assets of the bank have increased to Rs 5,56,708 crore, registering a YoY growth of 17.3%. Its loan portfolio increased to Rs 4,95,095 crore, registering a growth of 20.8%.
Nabard chairman G R Chintala said that the institution disbursed Rs 91,698 crore during April to September 2020 under various schemes to banks and government entities. He added that the bank would disburse over Rs 2 lakh crore, in the second half of FY20-21.