Department of Animal Husbandry & Dairying, Ministry of Fishries, Animal Husbandry and Dairying is implementing the Credit Guarantee Scheme under Animal Husbandry Infrastructure Development Fund (AHIDF).
- It aims to strengthen credit delivery system and facilitate smooth flow of credit to the Micro, Small & Medium Enterprise (MSMEs) engaged in Livestock sector without hassles of collateral security.
- For operationalizing the scheme, DAHD has established a Credit Guarantee fund Trust of Rs. 750.00 crores, which will provide credit guarantee coverage up to 25% of the credit facilities extended to the MSMEs by the eligible lending institutions.
- The credit guarantee scheme facilitates access to finance for un-served and under-served livestock sector, making availability of financial assistance from lenders to mainly first-generation entrepreneurs and under privileged section of society, who lack collateral security for supporting their ventures.
- The establishment of credit guarantee fund trust was approved under the Prime Minister’s AtmaNirbhar Bharat Abhiyan stimulus package of Rs.15000 crores.
- Animal Husbandry Infrastructure Development Fund (AHIDF) has been launched for incentivizing investments by individual entrepreneurs, private companies, MSMEs, Farmers Producers Organizations (FPOs) and Section 8 companies .
- One of the key features of the AHIDF scheme is the establishment of a Credit Guarantee Fund Trust of Rs. 750.00 Crores.
- AHIDF provides Interest Subvention of 3% and loan up to 90% of the total project cost from any Scheduled Bank, National Cooperative Development Corporation (NCDC).
