In April 2025, Mumbai (Maharashtra)-based National Bank for Agriculture and Rural Development (NABARD) announced that it has extended Rs 5,830 crore as financial assistance to Jharkhand in Financial Year 2024-25 (FY25) which concluded on April 01, 2025, to boost rural infrastructure across the state.
- This financial assistance has significantly augmented rural infrastructure development, livelihood promotion, institutional strengthening, and financial inclusion in the state.
- The financial support included funds for irrigation projects, rural development, financial inclusion and tribal community empowerment, have benefitted over 2 lakh farmers and 50, 000 rural families.
Key Allocations:
i.The major portion of this financial support was availed by Ranchi (Jharkhand)-based Jharkhand Rajya Gramin Bank and Ranchi (Jharkhand)-based Jharkhand State Cooperative Bank Limited , amounting to Rs 2,143 crore.
ii.NABARD extended Rs 1,988 crore to Jharkhand under the Rural Infrastructure Development Fund (RIDF), for development of critical infrastructure projects.
Key Initiatives/Projects:
i.Among major interventions, 2 are mega lift irrigation projects in Giridih and Palamu districts, aiming to create irrigation potential over 28,500 hectares (ha).
- Along with 19 safe drinking water supply projects, some additional projects were sanctioned: 396 rural godowns and marketing centres, 211 rural bridges.
- All these initiatives are projected to significantly improve irrigation coverage, rural connectivity, sanitation, health and education outcomes.
ii.NABARD has promoted 244 FPCs across Jharkhand, directly benefiting over two lakh farmers by enhancing market access and input supplies. Notably, 53 of these FPCs have been integrated into the Open Network for Digital Commerce (ONDC), facilitating their participation in e-commerce.
iii.NABARD has completed phase-I of digitization of 1,500 Primary Agriculture Cooperative Societies (PACS), including the development of e-PACS.
- This initiative aims to improve transparency, service delivery and digital inclusion at the grassroots-level.
- The remaining 2,871 PACS will be computerized in FY26.
iv.NABARD announced that it is implementing 61 tribal development projects, benefitting more than 40,000 tribal families through orchard-based livelihoods and other sustainable activities.
- At present, NABARD is implementing 51 watershed development projects, which covers 58,500 ha of land. These projects will benefit over 50,000 rural families.
Other Key Points:
i.NABARD has actively supported the off-farm sector by promoting rural artisan collectives, skill development programs, and facilitating market accessibility for rural products.
- All these efforts aimed to secure Geographical Indication (GI) tags for Kuchai and Bhagaiya silk , Athe Mutton Deoghar, among others.
ii.Also, NABARD has supported 8,963 financial and digital camps across the state, aimed at strengthening the penetration of formal financial systems and digital tools in rural areas of Jharkhand.
iii.New Delhi (Delhi)-based NABARD Consultancy Services Private Limited (NABCONS), the consultancy arm of NABARD has provided expert services in agriculture, irrigation, banking and allied sectors throughout FY25, playing an important role in planning and project execution for various stakeholders.
About National Bank for Agriculture and Rural Development (NABARD):
NABARD was established under NABARD Act, 1981. It works under the jurisdiction of Department of Financial Services (DFS), Ministry of Finance (MoF).It was formally established in 1982 based on the recommendations of B.Sivaramman Committee,
Established: 12 July 1982
Chairman- Shaji K.V.
Headquarters- Mumbai, Maharashtra
About Jharkhand:
Chief Minister (CM)- Hemant Soren
Governor- Santosh Kumar Gangwar
Capital- Ranchi
Wildlife Sanctuaries (WLSs)- Hazaribagh WLS, Koderma WLS
