Reserve Bank of India (RBI) Revises Kisan Credit Card (KCC) Scheme Rules from January 2027

Exam-focused facts from the 24 June 2026 current affairs briefing.

Key facts

The Reserve Bank of India (RBI) has issued final directions for the revised Kisan Credit Card (KCC) Scheme, which will come into effect from 1 January 2027.
The revised framework applies to all commercial banks, small finance banks, regional rural banks, and rural co-operative banks.
The RBI has standardised crop seasons by fixing short-duration crops at 12 months and long-duration crops at 18 months for loan sanctioning and repayment purposes.
Banks must waive collateral security and margin requirements for agricultural and allied activity loans up to ₹2 lakh per borrower.
For KCC loans involving hypothecation of crops or stock and tie-up arrangements for recovery, banks may waive collateral requirements for loans up to ₹3 lakh.