Mumbai: Bank of Baroda has unveiled a slew of new initiatives to prop up its farm sector lending.

As part of the new initiatives, a MoU was signed between the Bank of Baroda and Punjab Tractors Ltd., through which finance for tractors can be arranged for on easy terms. Loanee farmers would be able to avail of discounts of Rs.4000 and also receive some free services under the scheme.

Bank of Baroda has already reduced its lending rates for farmers to 8.50 per cent per annum for crop loans up to Rs.50, 000/- and 9.25 per cent per annum for production and investment credit facilities above Rs.50, 000/- up to Rs.10 lacs, by way of providing cheap credit.

The bank has also relaxed its security norms in order to make its agriculture lending schemes more friendly.