In a major relief for farmers, Uttar Pradesh Chief Minister Yogi Adityanath on Sunday announced a significant reduction in the interest rate on loans provided by the Uttar Pradesh Cooperative Gramin Vikas Bank (Land Development Bank – LDB). The interest rate, currently around 11.50 per cent, will be reduced to 6 per cent, a move described as a historic decision for small and marginal farmers.
Addressing a public programme, the Chief Minister said that the state government is actively working to ensure affordable credit for farmers through the cooperative banking system. He emphasised that lowering the interest burden would strengthen farmers financially, encourage agricultural investment and improve rural livelihoods.
The Chief Minister stated that cooperative institutions play a crucial role in agricultural development and that the government is committed to making them more farmer-friendly and efficient.
The proposed reduction in interest rates is expected to provide substantial relief to lakhs of farmers across the state, particularly small and marginal cultivators who often struggle with high borrowing costs.