NABARD​

The full name of NABARD is National Bank for Agriculture and Rural Development. It was established on July 12, 1982 for the agricultural and rural development sectors. It is the apex institution of Rural Credit. It was established by the merger of Agriculture Credit department and reconstruction of Agriculture and Development Corporation of the Reserve Bank of India. NABARD was established on the recommendations of Shivraman Committee. The Reserve Bank and the Central Government have equally divided the share capital of NABARD. The headquarters of this bank is in Mumbai. NABARD is responsible for providing re-lending assistance to the State Cooperative Bank and Grameen Bank, and for examining them. Funds are raised from the Reserve Bank and the World Bank. NABARD, which started with a capital of Rs 100 crore, has a current working capital of Rs 2000 crore. Agricultural loans are the lowest interest loans granted by NABARD. They are provided without collateral and interest-free. NABARD provide Short-term, Medium-term and Long-term loans. Short-term loans are those with a repayment period of less than one year. Medium-term loans are those with a repayment period of up to three years. Long-term loans are those with a repayment period of more than three years.