The lending rate for three agricultural credit schemes operated by the Central Bank has been reduced with effect from yesterday (Dec 31).

The interest rates of the New Comprehensive Rural Credit Scheme, Agro Livestock Development Loan Scheme and Krushi Navodaya Special Loan Scheme have been reduced by 4 percent. The scheme is also extended to buyers of agricultural commodities who have signed sales agreements with farmers.

It has been reduced to encourage new investments in agricultural and animal husbandry projects.

This comes under the President’s initiative to upgrade agriculture in the country by addressing problems faced by farmers and their expectations.