The Pradhan Mantri Kisan Samman Nidhi (PM-KISAN) is a central government scheme launched by Hon’ble Prime Minister Narendra Modi in February 2019, aiming to uplift the farmers of India. This holistic scheme intends to provide structured financial support to the farmers, helping them to manage the cost of farming, reduce debt, and improve the overall standards of living.
The PM-Kisan scheme works by providing income support to all Institutional Landholder farmer families across the country, with cultivable land, as per land records of the respective States/Union Territories. The financial support is delivered directly to the bank accounts of the beneficiaries, to minimize the chance of exploitation and corruption.
Two of the significant aspects of the Pradhan Mantri Kisan Samman Nidhi are:
- Income Support: The scheme assures an income support of INR 6000 per year to each eligible farmer family. This amount is paid in three equal installments of INR 2000 every four months.
- Eligibility: The PM-Kisan scheme caters to small and marginal farmers, with a combined landholding/ ownership of up to 2 hectares as per land records of the concerned states.
The PM-Kisan scheme, however, excludes certain categories of beneficiaries like institutional landholders, farmer families holding constitutional posts, public servants, professionals, and retired individuals whose pensions are above INR 10,000 among others.
One of the biggest advantages of the Pradhan Mantri Kisan Samman Nidhi is that it provides a certain degree of income security to the farmers. The small and marginal farmers, who often struggle to make ends meet, receive some financial respite due to this scheme. It also makes the farming community more self-supporting and less dependent on external factors for their livelihood.
Additionally, the PM-Kisan scheme, coupled with the Kisan Vikas Patra scheme, can have a transformative impact on the lives of the farmers. The Kisan Vikas Patra scheme (KVP) is a savings scheme introduced by India Post. It promises to double the amount invested over a set period. For instance, the amount invested in KVP will get doubled in 124 months (10 years and 4 months) at present, with an effective annual interest rate of 6.9%.
To wrap up, the Pradhan Mantri Kisan Samman Nidhi marks a great stride in the agriculture and farming reform in India. It is hoped that the combination of the PM Kisan scheme and the Kisan Vikas Patra scheme will bring significant improvement in the lives of the farmers and give a much-needed boost to the Indian agricultural economy.
Disclaimer:
The pros and cons of trading in the Indian financial market must be thoroughly evaluated by the investor. Moreover, various aspects of Pradhan Mantri Kisan Samman Nidhi and Kisan Vikas Patra scheme, such as interest rates, eligibility criteria, and others are subject to change as per government directives.
Summary:
The Pradhan Mantri Kisan Samman Nidhi (PM-KISAN) scheme, launched by the central government, aims to provide structured financial support to farmers across India. The scheme ensures an income support of INR 6000 per year to each eligible farmer family, paid in three equal installments. The PM-Kisan scheme, in conjunction with the Kisan Vikas Patra scheme, offers a sizable financial respite to struggling farmers. Nonetheless, investors should thoroughly evaluate the potential pros and cons before venturing into the Indian financial market.
