Agriculture Infrastructure Fund(AIF)

Purpose

To mobilize a medium - long term debt finances facility for investment in viable projects for post-harvest management Infrastructure and community farming assets through incentives and financial support to improve agriculture infrastructure.

Eligible

  • Marketing Cooperative Societies
  • Primary Agriculture Credit Societies (PACS)
  • Farmer Producers Organizations (FPOs)
  • Farmers
  • Self Help Group (SHG)
  • Joint Liability Groups (JLG)
  • Multipurpose Cooperative Societies
  • Agri-entrepreneurs and Startups
  • Central/State agency or Local Body sponsored Public-Private Partnership Projects.
  • Start Ups
  • State Agencies
  • State Federation of Cooperatives

Nature of Facility

Term loan

Size of Loan

  • The Scheme doesn’t have minimum and Maximum loan Cap.
  • However, an eligible beneficiary can avail benefits of AIF on Loan upto Rs.2Crore per project.

Security

  • For loans upto ₹2 crores, Credit guarantee coverage will be available for eligible borrowers under Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) scheme, hence no collateral is required.
  •  The fee for this coverage will be paid by the Government for a maximum period of 7 Years.

Repayment

  • 7 years, (Including moratorium period of 6 months to a maximum of 2 years.)

RoI

  • Up to Rs. 2 Crs: 6M MCLR+100 bps (max. of 9% p.a.).
  • Above Rs. 2 Crs: As per Bank’s extant guidelines.

Interest subvention

  • The interest subvention by GoI is to the extent of 3% and provided upfront to the bank.

Coverage

  • Borrower/ Unit registered as MSME unit:- Covered under CGTMSE up to loan limit of Rs. 2.00Cr
  • For FPOs /FPCs: - loan up to Rs.2.00 Crs. Credit guarantee from NABSanrakshan

Margin

Minimum a 10% of the project cost shall be mandatory as promoters’contribution

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