Union Minister George Kurian, informed the Lok Sabha on March 25, 2025, that a total of 4,63,492 KCC cards have been issued to fishers and fish farmers, providing loans worth Rs 2,982.58 crore across the country. He also highlighted the government's continuous efforts to increase credit accessibility and provide financial support to the fisheries sector.
The extension of the KCC facility to fishers and fish farmers in 2018-19 has provided them with easy access to working capital. The scheme allows them to avail of loans up to Rs 2 lakh at a subsidized interest rate of 7%, with an upfront interest subvention of 1.5% offered by the government.
Moreover, farmers who repay their loans on time receive a 3% Prompt Repayment Incentive (PRI), effectively bringing down the interest rate to 4% per annum. In a recent development, the collateral-free loan limit for KCC in fisheries has been increased from Rs 1.60 lakh to Rs 2 lakh, effective from January 1, 2025. Furthermore, the Union Budget 2025-26 has raised the KCC lending limit to Rs 5 lakh under the Modified Interest Subvention Scheme to improve credit access for fishers and other stakeholders.
Apart from KCC, the Fisheries and Aquaculture Infrastructure Development Fund (FIDF), launched in 2018-19, continues to play a crucial role in enhancing fisheries infrastructure. With a fund size of Rs. 7522.48 crore, the FIDF provides concessional finance to eligible entities, including state governments, state entities, and private stakeholders.
The government offers an interest subvention of up to 3% annually, ensuring lower interest rates for the beneficiaries. So far, 141 projects with a total outlay of Rs. 3947.54 crore have been approved under the FIDF.
In addition to financial assistance, the government is also focused on ensuring the welfare of fishers through the Pradhan Mantri Matsya Sampada Yojana (PMMSY). Under this scheme, fishers are provided with group accidental insurance, with the entire premium covered by the Central and State governments.
The insurance includes Rs 5 lakh coverage for death or permanent total disability, Rs 2.5 lakh for permanent partial disability, and Rs 25,000 for hospitalization due to accidents. Over the last three years and the current financial year, approximately 131.30 lakh fishers have been insured under this scheme, averaging 32.82 lakh enrollments annually.
To ensure the welfare of fishers, the Pradhan Mantri Matsya Sampada Yojana (PMMSY) offers comprehensive social security through group accidental insurance coverage. The scheme covers fishers against death, permanent total disability, and partial disability, with compensation amounts of Rs. 5 lakh, Rs. 2.5 lakh, and Rs. 25,000 for hospitalization expenses, respectively.
The premium is fully covered by the central and state governments. Over the past three years and the current financial year, approximately 1.31 crore fishers have been insured under the PMMSY, with an average annual enrollment of 3.28 million beneficiaries.
