NABARD Projects Strong Agricultural Credit Demand in FY27 Amid Rising Input Costs
NABARD Deputy Managing Director Ajay Kumar Sood stated that demand for agricultural and rural credit in India is expected to remain strong in the 2026-27 financial year. This growth is driven by higher input costs, expanded Kisan Credit Card coverage, and increased investments in allied activities, mechanisation, and agricultural infrastructure. The credit structure is shifting towards long-term investment loans rather than short-term crop loans, supporting capital formation in agriculture. However, rising borrowing costs present challenges for farmers and rural MSMEs.