NABARD projects ₹65,609 crores credit for Coimbatore

The National Bank for Agriculture and Rural Development (NABARD) has released the potential linked credit plan for Coimbatore. It forecasts a credit outflow of ₹65,609.35 crore for the district in the financial year 2025-2026. This marks a modest increase from the current fiscal year, which has a projected lending of ₹64,682 crore. In the current year, ₹26,789 crore is allocated for agriculture and ₹35,661 crore for Micro, Small, and Medium Enterprises (MSMEs). The new plan shows only a ₹927 crore rise in bank loans for the upcoming year. According to the plan, 59% of the total credit, or ₹39,048 crore, will be directed toward MSMEs. Meanwhile, 30% will go to the agriculture sector, amounting to ₹19,795 crore. This is nearly ₹7,000 crore less than what was allocated for agriculture in the current year. The plan also includes ₹456 crore for export credit and approximately ₹1,485 crore for education loans. Bank lending for renewable energy projects is expected to reach about ₹75 crore. Officials say the final annual credit plan for 2025-2026 will be adjusted based on actual loan disbursements ending March 31, 2025. Changes in the definition of MSMEs by the central government will likely increase funding needs for the sector next year.