Write short notes on : (i) Kisan Credit Card Scheme (ii) Providing Urban Facilities in Rural Areas (PURA)
In short
The Kisan Credit Card Scheme, launched in 1998, gives farmers timely short-term credit for crops and allied activities, while PURA, conceived by Dr APJ Abdul Kalam, provides physical, electronic and knowledge connectivity and urban amenities to rural clusters. Over 7.75 crore KCC accounts were operational as of January 2024.
Model answer
Ghissu Editorial · Verified 4 Oct 2026 · 278 words
Comprehensive Credit Access
Launched in 1998, KCC provides collateral-free loans up to Rs. 2 lakh and Rs. 5 lakh under the Modified Interest Subvention Scheme for crop and allied activities.
Wide Institutional Reach
Implemented through 457 banks, including Regional Rural Banks and cooperatives, with over 7.75 crore accounts and Rs. 9.81 lakh crore outstanding loans as of January 2024.
Implementation Challenges
In Andhra Pradesh3, rural credit disparities persist, especially in drought-prone Rayalaseema, with issues like fund misuse and delayed disbursal.
Connectivity Foundation
PURA, conceptualized by Dr. A.P.J. Abdul Kalam, ensures physical, electronic, and knowledge connectivity to rural hubs, integrating them into economic markets.
Institutional Support
Supported by the Ministry of Rural Development and Asian Development Bank, promoting infrastructure convergence.
State-Level Challenges
In Andhra Pradesh, gaps in rural sanitation, water supply and connectivity, along with fund diversion flagged by state audits, limit the reach of PURA-type amenities.
Enhance Financial Literacy
Boost awareness and digital literacy in Andhra Pradesh to improve KCC utilization.
Integrate PURA with State Plans
Align PURA with projects like the Polavaram Project4 for holistic rural development.
Support FPOs
Promote Farmer Producer Organizations in Andhra Pradesh to leverage KCC credit for technology and market access.
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