What is COVID-19 Mahabank Kisan Rahat Yojana and How It can help Farmers during Lockdown?

Agriculture Schemes Finance Govt. Schemes

Farm activity in India is at its peak between April and June as this is when the winter crop (wheat & pulses) is being harvested and sold. In addition, this is the time when farmers start sowing the summer rain-fed crops like paddy, pulses and cotton etc. About 60% of country’s food supply and farmers’ incomes depend upon Kharif season. And the prevailing lockdown due to Covid-19 has badly hit the farming community. Though government is trying to help farmers in many ways but still if a farmer needs an emergency loan or any type of financial help then where should he go? For this he must know about which all banks are offering covid-19 loans etc.

In this article we will tell you about one such scheme for the farmers, COVID-19 Mahabank Kisan Rahat Yojana, which is offered by the Bank of Maharashtra. The scheme is aimed at helping farmers during this present crisis.

Purpose of COVID-19 Mahabank Kisan Rahat Yojana

To meet the emergency needs for Agriculture & Domestic purposes for tiding over temporary problems in the wake of COVID-19 pandemic.

Validity of COVID-19 Mahabank Kisan Rahat Yojana

The Scheme is valid up to 30 June 2020

Eligibility of COVID-19 Mahabank Kisan Rahat Yojana

Individual farmer or joint borrowers having Kisan Credit Card (KCC) limit or Term Loan facility with the Bank of Maharashtra and has satisfactory track record.

Type of Loan

Term loan


The borrower can take the sanctioned amount in one go or in trenches.

Quantum of Loan and Ceiling

  • Minimum limit is Rs. 10,000
  • Maximum limit is Rs.1,00,000

(Subject to ceiling at 50 percent of KCC limit or Term Loan Limit)

Moratorium period – 6 months

Repayment period

  • Two years (excluding moratorium) in half yearly or annual instalments matching to the harvest of the crop.
  • The loan has to be cleared in full if a fresh or enhanced limit is sought in the subsequent year based on the revised KCC limit


Existing personal guarantee, if may be extended for the proposed facility

Rate of Interest               

  • For Loans up to Rs. 10 Lakh: 1 Year MCLR plus BSS@0.50% + 1.75%
  • For Loans above Rs. 10 Lakh: 1 Year MCLR plus BSS@0.50% + 2.75%
  • Interest subvention is not applicable to such loans.

Penal Interest

No penal interest.



Processing Charges & other charges      

NIL ( to be waived off)


  • This facility is in addition to the already existing facilities of the group, with specific request of farmer.
  • All existing facilities must be in Standard category.
  • The farmer must not have availed loans from any other financial institution for the same purpose.

For more details visit – https://www.bankofmaharashtra.in/mahabankcares_covid-19


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