Nabard subsidiary ‘NABSanrakshan’ sets up Rs 1000 cr credit guarantee fund trust to support FPOs

NABSanrakshan Trustee Pvt Ltd (NTPL), a subsidiary of Nabard, and the Government of India signed a trust deed for the Rs 1,000 crore of the Credit Guarantee Fund Trust for Farmers Producer Organisations (CGFTFPO).

The fund has been launched under the trusteeship of NABSanrakshan Trustee Pvt Ltd, a wholly-owned subsidiary of NABARD. For this, NABSanrakshan has signed a trust deed with the Ministry of Agriculture and Farmers Welfare. The Trust has been registered in Mumbai.

The CGFTFPO is only the second such trust formed in the agriculture and allied sector for providing credit guarantee.