Reserve Bank of India
Rural Planning & Credit Department
Central Office
Central Office Building, 13th floor,
Fort, Mumbai - 400 001

RPCD.PLFS.BC.NO./12/ 05.02.02 /2002-2003
31 August 2002

The Chairman/ Chairman & Managing Director
Chief Executive Officer
All Scheduled Commercial Banks
(Excluding RRBs)

Dear Sir,

Priority Sector Lending -Scheme for financing Agriclinics and Agribusiness Centres

Please refer to our circular RPCD.PLFS.BC.NO./ 18 / 05.02.02 /2001-2002 dated 31 August 2001 advising banks that advances granted under the Scheme for Financing Agriclinics and Agribusiness Centres will qualify for inclusion under 'Indirect Finance to Agriculture under Priority Sector Lending'.

2.It has since been decided to classify advances for financing Agriclinics and Agribusiness Centres as 'Direct Finance under Agriculture'. Accordingly, the finance granted under the above Scheme will qualify for inclusion under 'Direct Finance to Farmers for Agricultural Purposes under Priority Sector Lending'.

3.The revised classification may be taken into account while reporting the advances in the half-yearly returns on Priority Sector Lending.

4.Please acknowledge receipt.

Yours faithfully,

Sd/-
(Smt. Vani J. Sharma)
Chief General Manager