Haryana set to launch a transparent, technology-driven rural credit system

The Haryana government is set to launch a transparent, technology-driven rural credit system that will eliminate the need for farmers to frequently visit banks or revenue offices for loan-related documentation, effectively removing bottlenecks in agricultural lending.

The Haryana government is set to launch a transparent, technology-driven rural credit system that will eliminate the need for farmers to frequently visit banks or revenue offices for loan-related documentation, effectively removing bottlenecks in agricultural lending. Haryana's Financial Commissioner, Revenue and Disaster Management Department, Sumita Misra, on Friday, also said the state government will soon sign a memorandum of understanding with the Reserve Bank of India to develop one of India's most advanced integrated farm credit systems. Under this framework, sanction of agricultural loans will be directly linked with digitised land records, ensuring seamless coordination between financial institutions and the revenue administration, an official statement quoted Misra as saying. Sharing details of the initiative, she said the new system represents a fundamental shift in the way agricultural credit is delivered. The official stated that farmers will now need only their Aadhaar number to access loans, as all land-related particulars will be automatically fetched from the state's digital record. ''This is not just a technological upgrade, but a complete reimagining of public service delivery for farmers. The long-standing patwari/tehsil/bank cycle that caused delays will be eliminated,'' she said. The project will be implemented in two phases. The first phase will focus on Kisan Credit Card loans, the most widely used agricultural credit instrument in Haryana. Upon Aadhaar authentication, land details will be auto-fetched, loan-related entries will be automatically recorded in land records, and encumbrance entries will be removed instantly upon repayment. The entire process will function with zero human intervention, ensuring maximum transparency, she explained. In the second phase, the system will be expanded to cover all forms of agricultural and rural lending, creating a unified digital credit ecosystem across the state. Misra said the initiative offers significant benefits to all stakeholders. Farmers will save time, gain faster access to credit, and enjoy complete transparency through real-time tracking of loan status and land records. Banks and financial institutions will receive authenticated land data in real time, reducing risks associated with fraudulent applications and improving operational efficiency. The revenue administration will benefit from self-updating records, reduced errors, and enhanced credibility of land records. The real-time integration between revenue records and lending institutions will also act as a strong safeguard against fraud and malpractice. Any attempt to use forged documents or outdated records will be automatically detected by the system, thereby protecting both lenders and genuine farmers, she added.

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