Memorandum of Understanding signed to facilitate low interest rate loans to farmers
To facilitate farmers in providing low interest rate loans, Warehousing Development Regulatory Authority (WDRA) signed Memorandum of Understanding (MoU) with a nationalized bank in an event.
Memorandum of Understanding signed to facilitate low interest rate loans to farmers(pti)
NEW DELHI- To facilitate farmers in providing low interest rate loans, Warehousing Development Regulatory Authority (WDRA) signed Memorandum of Understanding (MoU) with a nationalized bank in an event.
The MoU was signed with the intent of promoting awareness about the new loan product called Produce Marketing Loan to exclusively fund against e-NWRs (electronic Negotiable Warehouse Receipt) with features such as Nil processing fee, No Additional collateral and attractive interest rates.
The MoU is aimed to provide information to depositors of the benefits, besides doing further outreach activities to improve agricultural pledge finance in India.
It is envisaged that the product will have far reaching consequences with regard to acceptance of e-NWRs among small and marginal farmers. It has the potential to make significant impact on the finances of rural depositors by preventing distress sale and releasing better prices for the produce.
Combined with the inherent security and negotiability of the e-NWR system, the Produce Marketing Loan will go long way in improving rural liquidity and increasing farmers income. The MoU was signed with the State Bank of India (SBI).
During the event, there was a brief discussion on the importance of post-harvest pledge financing using warehouse receipts for improving rural credit. The bank representatives also highlighted the risks faced by the lending institutions in this sector. WDRA assured their full regulatory support in improving the fiduciary trust among stakeholders.
Read Also : Coal India Organises Training programme for capacity buildingNews Must Read
- SJVN CMD Geeta Kapur Inaugurates Construction Works at Sunni Dam Project in Himachal Pradesh
- PESB Selects R Veerabahu as Director (Finance) for Braithwaite & Co. Limited
- Grew Energy bags largest order of 200 MW Contract of SECI's Auction
- CPCL Reports 39% YoY Drop in Q4 Net Profit, Declares Rs 55 per Share Dividend
- SJVN Limited inaugurates India's first Multi-purpose Green Hydrogen Pilot Project
- KRDCL, RVNL JV emerges as the Lowest Bidder for Redevelopment of Thiruvananthapuram Central Railway Station
- REC Ltd. has incorporated subsidiary company BPTL
- Hon’ble Vice President of India Confers `Outstanding PSU of the Year’ Award on HAL
- BharatPe Launches India’s first All-in-One Payment Device
- NBCC registers historical Performance in FY2023-24