PRIMARY AGRICULTURE COOPERATIVE SOCIETIES      

Disclaimer: Copyright infringement not intended.

Context

• The Union Cooperation Ministry is working on a new central scheme to modernise and digitalise over 97,000 primary agriculture cooperative societies (PACs) spread across the country, with a budget outlay of around Rs 2,000-3000 crore over the next five years.

About

• Primary agriculture cooperative societies (PACs) -- commonly known as agri-cooperative credit societies -- are village-level lending institutions based on cooperative principles.
• They provide short and medium term loans to rural people to meet their financial requirements.
• There are about 97,961 PACs across the country, out of which viable ones are about 65,000.
• PACs are under the ambit of state government.

Digitalization of PACs

• After digitalisation of PACs, banking procedures will get smooth and will benefit in auditing.
• Besides, it will ensure the benefit of farm loans reaches the last mile because in a few states agri-credit is still disbursed through PACs.
• Since PACs are under the ambit of state government, the scheme envisaged will be on a 60:40 basis for five

https://economictimes.indiatimes.com/news/economy/agriculture/centres-rs-2000-3000-cr-scheme-to-digitalise-pacs-on-anvil/articleshow/87181691.cms