RBI panel pitches for federal body like GST Council in farm sector

Times of India | Sep 13, 2019 at 4:35 PM
  • An RBI panel on Friday suggested setting up of a federal body on the lines of the GST Council to implement reforms and boost credit flow in the agriculture sector, besides pitching for direct transfer of subsidy and no farm loan waivers.
  • In February this year, the RBI had set up the ‘Internal Working Group’ to understand the reasons for regional disparity and other agricultural credit related aspects and suggest workable solutions to address constraints in accessing institutional agricultural credit.
  • It also stressed that banks should increase credit for allied farm activities as well and give consumption loans to farmers up to a sanctioned limit of Rs 1 lakh.