The Nabard Bill, 2017 also seeks to amend certain clauses in the light of reference of the MSMEs Development Act, 2006 in the proposed legislation.
To enable exit of the Reserve Bank of India (RBI) from Nabard and increase authorised capital of the development institution six times to Rs 30,000 crore, a bill has been passed by the Lok Sabha.
This is a small bill but irrespective of that, 28 members put their views on this legislation, which reflects the interest of members on agriculture related issues, Minister of State for Finance Santosh Kumar Gangwar said.
The National Bank for Agriculture and Rural Development (Amendment) Bill, 2017 also seeks to amend certain clauses in the light of reference of the Micro, Small and Medium Enterprises (MSMEs) Development Act, 2006 in the proposed legislation.
The law is one of the "major step" towards doubling farmers income by 2022, he said.
"This law would benefit farmers," he said adding the government is sensitive towards issues of farmers.
On concerns being raised by few members such as N K Premachandran (RSP) and K C Venugopal (Congress) on including MSMEs in place of SSIs (small scale industries), he said Nabard would always support agriculture and not corporates.
National Bank for Agriculture and Rural Development (NABARD) is a premier organisation which was established in 1982. It provides loans for agriculture, small scale industries among others. In the last three decades, there has been diversification in the functioning of Nabard and in the last three years, after the BJP government came to power, the bank has underwent a lot of changes, he said.