www.iaset.us editor@iaset.us AN APPROACH TO STUDY THE VIABLITY OF AGRICULTURAL FINANCING INTERVENTION SCHEMES SHAKIR HUSSAIN PARREY 1 , IQBAL AH. HAKIM 2 & HAKIM SHABIR AH 3 1 Doctoral Research Scholar, The Business School, University of Kashmir, Srinagar, Jammu and Kashmir, India 2 Professors, The Business School, University of Kashmir, Srinagar, Jammu and Kashmir, India 3 Department of Agriculture, J & K Government, Jammu and Kashmir, India ABSTRACT The assessment survey of farmers carried out during the year 2003 by the National Sample Survey Organization of India, revealed that more than half of the Indian farmers were in debt. Surinder Jodhka in a study on farmer’s suicides highlighted the decadal changes in financing policy and agrarian situation and held it responsible for the suicide of the farming community. In this context present study is an attempt to evaluate the available literature and propose a comprehensive model for the evaluation of financing intervention schemes in general and agricultural financing schemes in particular. The paper evaluated existing models of scheme evaluation and identified their inefficiency and their limited scope in evaluation methods. The paper put forth its noble contribution in the sense that it considers both latent and precedent factors of scheme for evaluation. An attempt has been made to involve all the dimensions of a financing intervention scheme through qualitative and quantitative dimensions, so as to prevent the ill effects that include suicide and scheme failure as evident in case of farming. Further the model explores other dimensions that include individual beneficiary, concerned scheme and the targeted field (Agricultural financing in this case). The foregoing review evaluation put forth the model to evaluate the financing schemes and individual credit propensity to promote the aimed objective of inclusive growth. KEYWORDS: Agricultural Credit Financing, Locus of Control, Risk Behavior INTRODUCTION Credit financing is one of the critical inputs for agricultural development. It capitalizes farmers to undertake new investments and/or adopt new technologies. The importance of agricultural credit is further reinforced by the unique role of Indian agriculture in the macroeconomic framework along with its significant role in poverty alleviation, (Anjani Kumar, 2010). Realizing the importance of agricultural credit in fostering agricultural growth and development a large number of formal institutional agencies like Co-operatives, Regional Rural Banks (RRBs), Scheduled Commercial Banks (SCBs), Non– Banking Financial Institutions (NBFIs), and Self-help Groups (SHGs), etc. are involved in meeting the short- and long-term needs of the farmers. Several initiatives have been taken to strengthen the institutional mechanism of rural credit system. The major milestones in improving the rural credit are acceptance of Rural Credit Survey Committee Report (1954), nationalization of major commercial banks (1969 & 1980), establishment of National Bank for Agriculture and Rural Development (NABARD) (1982) and the financial sector reforms (1991 onwards), Special Agricultural Credit Plan (1994-95), launching of Kisan Credit Cards (KCCs) (1998-99), Doubling Agricultural Credit Plan within three years (2004), Agricultural Debt Waiver and Debt Relief Scheme (2008). These initiatives had a positive impact on the flow of International Journal of Applied and Natural Sciences (IJANS) ISSN(P): 2319-4014; ISSN(E): 2319-4022 Vol. 3, Issue 4, Jul 2014, 121-132 © IASET