Full Form of CRAFICARD, Definition, Vision, Achievements

CRAFICARD stands for the Committee to Review Arrangements for Institutional Credit for Agriculture and Rural Development. As the economy of India is growing, there is a need for a lot of institutional reforms. The need for institutional credit is increasing in India. It is necessary at early as well as advanced stages of planning. To solve this problem, the government of India, with the help of the reserve bank of India, constituted CRAFICARD. It was established on 30th March 1979. Its first chairman was Shri B. Sivaraman, a former member of the planning commission of India.

The organisation submitted the very famous report of 1979. It highlighted the need for structured devices. These devices would help pay attention to credit-related issues within the rural sectors. It was with these recommendations that a national bank for agriculture and rural development was established in the country. NABARD was established in 1981. All the credit for this decision and change ghost to CRAFICARD.

NABARD has helped millions of farmers and people from rural areas get institutional credit. It has been working for the country since the service of Prime Minister Indira Gandhi. Till now, it has been a very important part of the country.

Vision of CRAFICARD

CRAFICARD’s primary mission was to identify the problems in the Indian economy related to institutional credit. There was a proper banking system for the people of urban areas. But for the people of rural areas, there was no credit system. As a result, these people had to borrow loans from institutional money lenders. These money lenders would charge a high amount of interest. Most of the farmers and people from rural areas were also mistreated. There was a need for some formal credit structure in this industry for a very long period. CRAFICARD helped the government of India solve this problem. It identified the problem and the loopholes in the economy. 

With the help of the data and the organisation's recommendations, NABARD's idea was converted into reality. Now, NABARD is an essential part of the Indian economy. It has been able to serve successfully to millions of rural citizens of the country. But, the success of NABARD is a result of the hard work of CRAFICARD. Without the help of CRAFICARD, there was a minimal possibility of creating a rural money lending institution.

Not many people know about the importance and the mission of CRAFICARD. It is essential to know the backstory of the successful institutions we see today. This organisation is the reason why India has been able to witness rural prosperity.

Achievements of CRAFICARD

There are a lot of achievements of CRAFICARD. One of the first achievements is the recommendation of NABARD. It was with the help of CRAFICARD that India was able to establish a NABARD. Other than this, CRAFICARD also conducted a lot of research on the critical aspects of the economy. All of these were related to credit lending. 

The main idea behind launching this organisation was to promote sustainable development in agriculture. The government also wanted to give equal resources to people irrespective of their demographic location. CRAFICARD was able to deliver the required outcomes to the government successfully. The chairman of the committee, Shri B Sivaraman, became very famous for his results and his team. Their report focused on the force, complete direction and issues related to credit in rural areas. It was with the help of this report that the government was able to take the necessary steps that resulted in agricultural prosperity.

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