KVG Bank launches OD facility for farmers

The Dharwad-headquartered regional rural lender, Karnataka Vikas Grameen Lender (KVGB), has introduced an overdraft (OD) facility for farmers.

Speaking at the launch of the ‘Kirishi OD’ scheme created for farmers, P Gopi Krishna, Chairman of the lender, stated that the farmers are supplied with an OD facility dependent on the benefit of the land. The limit is capped to a most of ₹1.five lakh for each acre to irrigated lands and ₹1 lakh for each acre to dry land.

The facility can be made use of for performing capital needs such as maintenance of equipment and tools, mend and alternative of equipment, agricultural allied actions and even for the compensation of non-public loans availed for particular use.

He stated the uncontrolled weather, escalating organic disasters, and the present Covid situation have designed farmers vulnerable. “To ease the situation, KVGB has created a unique OD facility for the farmers to assist them to cope with the situation,” he extra.

Neeraja Kumara Verma, Chief Standard Supervisor of NABARD, who introduced the scheme in Dharwad, stated that credit flow is crucial for the advancement of the agriculture sector and regional rural banking companies (RRBs) are carrying out perfectly in this regard. He stated the ‘Krishi OD’ facility is a unique scheme and will reward the farming neighborhood.

Verma stated that NABARD is keenly seeing the development and involvement of RRBs and extending well timed assistance and assistance. “RRBs are carrying out perfectly underneath priority sector lending, formation and linkage of SHGs and JLGs and even in managing microfinance matters.”

A press launch by KVGB stated that he lauded the efforts of KVGB in matters associated to money inclusion.