A Review on Role of National Bank for Agriculture and Rural Development (NABARD) in Agriculture and Rural Development

Abstract

Agriculture sector has been playing an important role in the national economic progress in general and in rural economy in particular. In fact rural development in India heavily depends on the development of agriculture sector of the economy. The pace of industrial progress also depends on agriculture development. It has always been given strategic importance in all the major economies of the world and India is no exception of it. For agriculture development different kind of help in form of finance, technology, education and of other inputs such as fertilizers, irrigation, insecticides, pesticides etc. need to be provided. After nationalization, the commercial banks have realized the importance of rural development and their responsibilities towards the rural society. He suggested that 40 per cent of the total advances may be disbursed among priority sectors, of this percentage at least 25 per cent should go to weaker section. cooperatives are facing keen competition from the commercial banks which have a large network of rural branches providing banking and credit services of the rural population apart from competition, the land development banks are also facing the problem of resource constraints for lending because they have no resources of their own being non-banking financial institutions.  NABARD is playing a significant role in agriculture and rural development In this research paper scholar conducted a review on different studies conducted on the issue of rural and agriculture financing at micro & macro level, role of different financial institutions including NABARD in this area.