by The National Bank for Agriculture and Rural Development (NABARD) is a development financial institution in India that was established on July 12, 1982, under the National Bank for Agriculture and Rural Development Act, 1981. The primary objective of NABARD is to promote sustainable and equitable agriculture and rural development in India.
NABARD provides financial and technical support to various agriculture and rural development activities through its various schemes and programs. It also provides credit to agriculture-related industries, rural artisans, and other small-scale rural businesses. NABARD works in close collaboration with various institutions such as state governments, rural banks, and other financial institutions to achieve its objectives.
Functions of NABARD are:
- Providing Refinance: NABARD provides refinance facilities to banks and financial institutions to promote agricultural and rural development.
- Promoting Sustainable Agriculture: NABARD promotes sustainable agriculture through various schemes, including the National Watershed Development Project for Rainfed Areas (NWDPRA).
- Supporting Rural Infrastructure: NABARD supports the development of rural infrastructure through schemes such as the Rural Infrastructure Development Fund (RIDF).
- Developing Rural Financial Markets: NABARD helps in the development of rural financial markets through various measures such as providing training and capacity building to rural banks and promoting self-help groups.
- Providing Technical Assistance: NABARD provides technical assistance and support to various agriculture and rural development activities through its various programs.
Objectives:
- To promote sustainable and equitable agriculture and rural development in India by providing financial and technical support to various agriculture and rural development activities.
- To ensure adequate credit flow to the agriculture sector and other rural industries.
- To promote the development of rural infrastructure, including irrigation, rural electrification, and rural roads.
- To develop and promote rural financial institutions, including rural banks and cooperative societies, to improve the accessibility of credit and other financial services to the rural population.
- To promote and support non-farm rural sector activities such as agro-processing, rural artisans, and small-scale industries in rural areas.
- To promote and support the adoption of sustainable agricultural practices and technologies.
- To promote and support the development of rural markets and value chains to increase the income of farmers and other rural entrepreneurs.
The working of NABARD involves the following activities:
- Providing Refinance: NABARD provides refinance facilities to banks and financial institutions to promote agricultural and rural development.
- Providing Credit: NABARD provides credit to agriculture-related industries, rural artisans, and other small-scale rural businesses.
- Supporting Rural Infrastructure: NABARD supports the development of rural infrastructure through schemes such as the Rural Infrastructure Development Fund (RIDF).
- Developing Rural Financial Markets: NABARD helps in the development of rural financial markets through various measures such as providing training and capacity building to rural banks and promoting self-help groups.
- Providing Technical Assistance: NABARD provides technical assistance and support to various agriculture and rural development activities through its various programs.
