IFC pumps $150 million into SBI rural women farm credit scheme

The International Finance Corporation (IFC), a member of the World Bank Group, has committed $150 million in financing to State Bank of India to accelerate agricultural credit access for rural women farmers across the country. The investment seeks to deepen financial inclusion in India's agricultural sector by channelling capital specifically toward women entrepreneurs engaged in farming and related value chain activities.

Under the initiative, SBI will extend credit facilities targeting approximately 864,000 rural women across India. A substantial portion of this lending—up to 90 per cent—will be routed through self-help groups (SHGs), which serve as critical intermediaries in rural finance and have proven effective in building women's financial capacity and economic participation.

The financing arrangement addresses a persistent gap in rural credit access, where women farmers have historically faced barriers to formal lending despite their significant contribution to agricultural production and household food security. By leveraging SHGs as a lending conduit, the initiative combines financial inclusion with community-based social structures already embedded in rural India.

The IFC's commitment aligns with broader development priorities to expand rural financial services and strengthen agricultural productivity. SBI, as India's largest public sector bank with extensive rural reach, is positioned to deliver the financing through its established network while supporting the Government's objectives on agricultural credit expansion and women's economic empowerment.