Kisan Credit Card Scheme, launched in 1998-99, provides crop loans to farmers at subsidized interest rates. Recent revisions include enhanced interest subvention of 3% for timely repayment, effectively reducing farmer's cost to 4% per annum. Coverage expanded to include fisheries, animal husbandry, and bee-keeping from 2018-19. NABARD coordinates with banks for implementation. Over 6.95 crore active KCC accounts with outstanding credit of ₹7.08 lakh crore as of March 2023, making it India's largest rural credit program.

KCC represents India's cornerstone agricultural credit policy, addressing the chronic issue of farmer indebtedness and rural credit access. The scheme's dual mechanism works through interest subvention (government compensates banks for reduced rates) and flexible credit limits based on crop patterns and land holdings. Recent policy shifts reflect government's priority on doubling farmer income - expanding from traditional crop loans to integrated rural livelihoods including dairy, fisheries, and allied activities. The 3% subvention creates an effective lending rate of 4% for prompt payers, significantly below market rates of 8-12%. This cross-subsidization model demonstrates fiscal policy supporting agricultural productivity while maintaining banking sector viability. Coverage expansion from 2018-19 aligns with Blue Revolution (fisheries) and Operation Flood legacy (dairy), showing policy convergence. The scheme's performance directly impacts rural consumption, agricultural GDP growth, and food security objectives. NABARD's coordinating role ensures standardized implementation across cooperative banks, RRBs, and commercial banks, making it a critical instrument for financial inclusion in rural India.