Union Minister Shivraj Singh Chouhan Releases Rs.3,200 Crores to Farmers under PMFBY.
National
In August 2025, Union Minister of Agriculture and Farmers Welfare, Shivraj Singh Chouhan, announced the digital transfer of the first insurance payout installment worth Rs.3,200 crores under the Pradhan Mantri Fasal Bima Yojana (PMFBY) to approximately 35 lakh farmers. The event, held in Jhunjhunu, Rajasthan, marked the ninth anniversary of the scheme.
- The digital transfer was made through the Direct Benefit Transfer (DBT) system directly into farmers’ bank accounts, ensuring transparency and speed in disbursal. This first installment is part of a larger release totaling around Rs.8,000 crores, which will be disbursed in subsequent installments under PMFBY.
- Under the state-wise claim distribution, farmers in Madhya Pradesh received Rs.1,156 crores, Rajasthan farmers received Rs.1,121 crores, and Chhattisgarh farmers received Rs.150 crores. Farmers in other states collectively received Rs.773 crores, highlighting the wide geographical reach of the insurance benefit.
- From the Kharif 2025 season, the scheme will enforce stricter timelines on claim settlements, with a penalty clause imposing a 12% penalty for delays caused by either states or insurers, aimed at improving efficiency and accountability.
Main Point :- (i) The Pradhan Mantri Fasal Bima Yojana (PMFBY), launched on February 18, 2016, by the Government of India (GoI), seeks to protect farmers from financial losses due to crop failure caused by natural calamities like droughts, floods, cyclones, pests, and diseases. This flagship scheme combines financial assistance with risk mitigation to secure farmers’ livelihoods.
(ii) In January 2025, the Union Cabinet approved the continuation of PMFBY along with the Weather Based Crop Insurance Scheme (RWBCIS) until the 2025–26 period, allocating a combined total budget of Rs.69,515.71 crores for both schemes to ensure comprehensive crop insurance coverage nationwide.
Chief minister: Bhajan Lal Sharma
Governor: Haribhau Bagade
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