Special Correspondent

CHANDIGARH: In yet another bonanza for the farm sector, the Haryana Government on Thursday decided that the cooperative banks in Haryana will advance crop loans to farmers at 7 per cent per annum rate of interest with effect from April 1, 2006.

Chief Minister Bhupinder Singh Hooda announced this here while reviewing the working of short- term cooperative credit structure in the State.

Mr. Hooda assured that the State Government would bear the losses, if any, incurred by the cooperative banks in implementing this decision.

He said the Government had also allowed interest subsidy at the rate of two per cent to the farmers on the agriculture short term loans advanced during last financial year.