A meeting of the Cabinet was held at Mantralaya on Thursday under the chairmanship of Chief Minister Dr. Mohan Yadav. The Cabinet approved continuation of the scheme for providing short-term crop loans to farmers at a zero percent interest rate through cooperative banks for the year 2025–26. The due date for the Kharif 2025 season has been fixed as March 28, 2026, and for the Rabi 2025–26 season as June 15, 2026.
Under this scheme, no interest will be charged on short-term crop loans up to Rs 3 lakh given to farmers through Primary Agricultural Credit Cooperative Societies (PACS) if repayment is made by the prescribed due date for the Kharif or Rabi season. The state government will provide a 1.5% general interest subsidy for all farmers and an additional 4% incentive interest subsidy to those who repay their loans on time. A target of Rs 23,000 crore has been set for disbursement in the current year.