Raising the short-term agricultural credit limit will ease financial burdens, allowing farmers to invest more in their farming activities.
New Delhi: Finance Minister Nirmala Sitharaman presented the Finance Bill for 2025-26 on Saturday, outlining the Modi government 3.0’s economic vision. She emphasized agriculture as the central pillar of the Union Budget 2025, positioning it as a key driver of economic growth.
To boost rural prosperity, the government launched the PM Dhan Dhanya Krishi Yojana, a major initiative to strengthen irrigation infrastructure in 100 districts. This program, implemented in collaboration with state governments, aims to enhance agricultural productivity, improve access to short-term and long-term credit, and expand storage capacity at the panchayat level. The initiative is expected to benefit 1.7 crore farmers by providing financial security and increasing crop production.
A six-year national mission will be introduced to boost domestic production of tur, masoor, and urad dal, reducing import dependence and ensuring self-sufficiency in pulse cultivation. Additionally, to strengthen the cooperative sector, new cooperative societies will be set up across various states. A dedicated Makhana Board will be established in Bihar to enhance training and support for Makhana farmers, improving cultivation techniques, productivity, and market
To modernize agriculture, the government will introduce a National Mission on High-Yielding Seeds, ensuring farmers have access to superior-quality seeds for higher yields. A five-year plan for cotton productivity will also be implemented, leveraging scientific research to improve cotton varieties and ensure a steady raw material supply to the textile sector. The National Mission for Edible Oilseeds will continue working towards self-sufficiency in edible oil production, supporting Indian farmers to meet domestic demand and beyond.
The government has also raised the loan limit under the Kisan Credit Card (KCC) scheme from Rs 3 lakh to Rs 5 lakh. This increase in short-term agricultural credit is expected to ease financial constraints on farmers, allowing greater investment in agricultural activities.
To support the fisheries sector, a regulatory framework will be implemented to promote sustainable fisheries expansion, particularly benefiting the Andaman & Nicobar and Lakshadweep islands. The government will also collaborate with states to enhance remuneration for fruit growers, ensuring fair compensation and making agriculture more profitable for small and marginal farmers.
For broader rural development, the government will launch a comprehensive Rural Prosperity and Resilience Programme in partnership with state governments. This initiative will address agricultural underemployment through skill development, technological investment, and economic integration of rural areas, creating sustainable employment opportunities. The first phase will cover 100 agricultural districts, incorporating global and domestic best practices with support from multilateral development banks.