Ground Level Agriculture Credit (GLC) disbursement for the financial year 2024-25 has reached Rs 19.28 lakh crore as of December 31, 2024, according to the Ministry of Agriculture & Farmers Welfare. To improve credit accessibility in the rural sector through streamlined and efficient agricultural financing, the government has been setting annual targets for GLC.
Over the past decade, the disbursement of agricultural credit has experienced an average annual growth rate of over 13%, indicating a growing dependence on institutional credit for agricultural development. In the fiscal year 2023-24, the total credit disbursement reached Rs 25.48 lakh crore. For the fiscal year 2024-25, the government has set a record Gross Lending Credit (GLC) target of Rs 27.5 lakh crore.
Notably, Rs 4.20 lakh crore has been specifically allocated for allied activities, including dairy, poultry, sheep and goat rearing, piggery, fisheries, and animal husbandry. This strategic allocation highlights the increasing recognition of allied sectors as vital contributors to rural prosperity and job creation.
The remarkable threefold increase in the GLC target, from Rs 8 lakh crore in FY 2014-15 to Rs 27.5 lakh crore in FY 2024-25, highlights the government’s focused efforts in enhancing credit penetration. This expansion has been pivotal in empowering farmers with necessary financial resources, driving modernization, and promoting diversification in agricultural practices.
The latest disbursement data shows that 70% of the annual target has been met within nine months, establishing a strong foundation for further acceleration in the upcoming months.
As India’s agrarian landscape evolves, the sustained expansion of credit support plays a vital role in ensuring food security, improving rural livelihoods, and strengthening the overall agricultural ecosystem.
