NABARD Launches ₹750-Crore Agri Fund to Boost Innovation

NABARD Launches ₹750-Crore Agri Fund to Boost Innovation

Sub: Economy

Sec:  Infrastructure

The National Bank for Agriculture and Rural Development (NABARD) has introduced a new initiative aimed at fostering innovation in agriculture and rural enterprises.

The initiative, known as the Agri-SURE fund, is designed to support start-ups and rural enterprises with a substantial financial backing.

•   Fund Size: ₹750 crore
•   Managing Entity: Nabventures, a wholly owned subsidiary of NABARD
•   Funding Contributors:
  • NABARD: ₹250 crore
  • Agriculture Ministry: ₹250 crore
  • Other Institutions: ₹250 crore

Purpose and Structure

• Objective: The Agri-SURE fund aims to promote innovation in the agriculture sector by providing financial support to start-ups and rural enterprises.
• Target Beneficiaries: The fund is structured to support approximately 85 start-ups.
• Investment Size: Each start-up can receive investments of up to ₹25 crore by the end of the fund’s term.

Implications

• Innovation in Agriculture: The fund is expected to stimulate innovation in the agriculture sector by providing essential capital to start-ups working on new technologies and methodologies.
• Rural Development: By supporting rural enterprises, the fund aims to contribute to the overall development of rural areas, creating new jobs and enhancing the local economy.
• Collaboration: The initiative highlights a collaborative approach between NABARD, the agriculture ministry, and other financial institutions, pooling resources to create a substantial impact.