Direct Benefit Scheme
The Central Government is bringing a Direct Benefit Scheme to remove poverty from the country. Under this scheme, the government will lend to nearly 8.5 crore families suffering from poverty in rural areas of the country. This loan will be given to these poor families to create a new business venture. This loan is particularly important because the central government will give a big share of interest on this loan.
Who will get 1 lakh rupees?
In order to give a loan of Rs. 1 lakh, the Central Government has resorted to recent data of social, economic and caste survey conducted. In these figures, the Central Government will identify about 8.5 crore households and will allocate a loan of one lakh rupees till 2019 under this scheme.
Why will the loan be given?
Under the scheme of a loan of Rs. 1 lakh, the Central Government is trying to strengthen the government structure of Rural Finance. The goal of this scheme is to reduce dependence on the poor and the poor in the rural areas by the regional lenders and the microfinance companies. Significantly, where the interest of around 11 percent of interest is charged by banks, regional lenders and microfinance companies charge higher interest rates than this and poor families in rural areas are burdened by this interest.
Loan will be given for which work?
Ministry of Rural Development has tied up with Ministry of Agriculture and Animal Husbandry. Under this agreement, the poor families will be able to earn income through activities like farming, poultry farm and goat rearing. The loans given to these families at cheap rates will be given to strengthening the earnings through these works. Apart from this, the government is also working on the participation of private companies in the field along with the help of the National Dairy Board.
Government to give 4 to 7 percent interest
In order to reduce the 11% interest rate for the loan by the bank, the Rural Development Ministry will make 4% interest on the loan through subvention and reduce it to 7%. At the same time, in the nearly 250 backward districts of the country, the central government is in the process of offering only 4 per cent interest on this loan. For this, he will give 3% additional exemption to those families through interest subvention, which will offset interest from time to time.