Union Cabinet approves to computerize all PACS for a total budget outlay of Rs. 2,516 Crore

On June 29, the Union Cabinet approved Rs. 2,516 crores for the computerization of Primary Agricultural Credit Societies (PACS), which aims to increase financial inclusion.

The Centre’s action is expected to benefit over 13 crore farmers.

The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, made the decision.

In India, 63,000 primary agricultural credit societies (PACS) have been approved for computerization.

The goal, according to Union Minister Anurag Thakur, will be to improve efficiency and transparency in operations.

PACS is a village-level institution that serves as the foundation for the cooperative credit structure’s three tiers.

It was founded in 1904 and was the only institutional credit agency available until the early 1970s.