What is NABARD?
NABARD is short for National Bank for Agriculture and Rural Development. It is an apex development financial institution in India, headquartered in Mumbai, having regional offices all over the country. NABARD is dedicated to improving the quality of life in rural India by promoting sustainable and equitable agriculture and rural development through financial inclusion, institutional development, capacity building, and other innovative initiatives.
The Bank has been playing a proactive role in the socio-economic development of rural India by providing credit and financial support for various activities, including agricultural infrastructure, agri-business, non-farm sector & micro-enterprises. In addition to credit, NABARD also provides technical assistance and training for various stakeholders involved in rural development.
The Different Types of NABARD
NABARD is an apex development bank in India. It was established on 12 July 1982 by a special act of Parliament, headquartered in Mumbai. The main aim of NABARD is to uplift the rural areas of India by providing financial assistance and promoting sustainable development.
There are three different types of NABARD:
1. The Regional Rural Banks (RRBs):
There are currently 56 RRBs in operation, which serve as the primary lending institutions in rural areas. They were set up to provide the rural population with credit and other banking services.
2. The State Cooperative Banks (SCBs):
These state-level cooperative banks provide banking services to rural cooperatives and financial institutions. There are 27 SCBs in India.
3. The Primary Agricultural Credit Societies (PACs):
PACs are village-level cooperative societies that provide credit and banking services to farmers. There are around 1,58,000 PACSs in India.
Advantages of NABARD
NABARD is an excellent resource for farmers and rural communities in India. It provides financial support for agricultural and rural development projects, which can help to improve the lives of those in poverty. NABARD offers various schemes and programs that can benefit farmers and rural dwellers, such as training and capacity-building programs, microfinance initiatives, and more. In addition, NABARD is responsible for monitoring and evaluating the progress of development projects to ensure their effectiveness and achieve their desired outcomes.
NABARD serves as a vital resource for farmers and rural entrepreneurs in India. It offers access to capital, promotes sustainable development, and contributes to job creation in rural areas. If you plan to start or expand a business in a rural setting, NABARD can be a valuable partner and resource to support your endeavours