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Half of farm households indebted: NABARD
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- According to a recent survey by the National Bank for Agriculture and Rural Development (NABARD), more than half the agricultural households in the country have outstanding debt.
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- The NABARD All India Rural Financial Inclusion Survey 2016-17 covered a sample of 1.88 lakh people from 40,327 rural households.
- Only 48% of these are defined as agricultural households, which have at least one member self-employed in agriculture and which received more than Rs.5,000 as value of produce from agricultural activities over the past year, whether they possessed any land or not.
- Agricultural households reporting any outstanding debt also had a higher debt liability compared with non-agricultural ones.
- The survey found that only 10.5% of agricultural households were found to have a valid Kisan Credit Card at the time of the survey.
- The biggest reason for taking loans among agricultural households was capital expenditure for agricultural purposes.
- The southern States of Telangana (79%), Andhra Pradesh (77%), and Karnataka (74%) showed the highest levels of indebtedness among agricultural households, followed by Arunachal Pradesh (69%), Manipur (61%), Tamil Nadu (60%), Kerala (56%), and Odisha (54%)
Source
The Hindu