Guidelines for relief measures to farmers affected by natural calamities - Conversion of ST(SAO) loans into Medium Term loans - Refinance Policy for the year 2020-21
1.  Please refer to our circular No. 92/DoR-32/2019 dated 01 April 2019 communicating the refinance policy for conversion of short-term agricultural loans into medium term loans and rephasement / reschedulement of existing MT (conversion) loans for the year F. Y. 2019-20. This line of credit which envisages providing relief to farmers, whose crops have been damaged, due to natural calamities has since been reviewed and it has been decided to continue broadly, with the same policy for the year 2020-21. 
2.   The rate of interest on refinance on MT conversion / rephasement / reschedulement of loans for F. Y. 2020-21 will be 300 basis points below that charged by Banks to the ultimate beneficiaries subject to a minimum interest rate of 8.10% p.a. or as decided by NABARD from time to time. The rate of interest charged by the banks would be as per the RBI guidelines.
3.  Other terms and conditions remain unchanged
4.  Please acknowledge receipt of this circular to our Regional Office.