NABARD : ECONOMY

NEWS : Empowering Rural India: NABARD Survey on Rural Financial Inclusion

 

WHAT’S IN THE NEWS ?

National Bank for Agriculture and Rural Development (NABARD) released Second All India Rural Financial Inclusion Survey (NAFIS) 2021-22

  • Income Growth: Average monthly income of households increased by 57.6%.
  • Consumption Basket Shift: Share of food expenses in household consumption declined from 51% to 47%.
  • Financial Literacy: Respondents with good financial literacy increased from 33.9% to 51.3%.
  • Agricultural Loans: The share of agricultural households taking loans from institutional sources rose from 60.5% to 75.5%.

National Bank for Agriculture and Rural Development (NABARD):

  • Establishment: Founded in 1982 under the NABARD Act, 1981, based on Shivaraman Committee’s recommendations.
  • Headquarters: Mumbai.
  • Mandate: Supports agriculture, small industries, and rural development projects.
  • Governance: Governed by a board appointed by the Union government.
  • Functions:
  • Implements rural development projects of World Bank and commercial banks.
  • Supervises Cooperative Banks and Regional Rural Banks (RRBs), integrating them into the Core Banking Solution (CBS).
  • Took over functions of Agricultural Credit Department (ACD), Rural Planning and Credit Cell (RPCC), and Agricultural Refinance and Development Corporation (ARDC).
  • Initiatives:
  • NAFINDEX: A survey offering an overview of rural livelihoods and financial inclusion.
  • Integrated Tribal Development Programme: Provides sustainable livelihoods to tribal families.
  • Kisan Credit Card Scheme: Enables farmers to meet credit needs for agriculture.
  • Climate Change Fund: Established to address climate change impacts.
  • E-Shakti: Digitization project for Self Help Groups (SHG) members.

Source : https://pib.gov.in/PressNoteDetails.aspx?NoteId=153270&ModuleId=3&reg=3&lang=1