List of Top Agricultural Banks in India 2026: A Comprehensive Guide

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Agriculture remains the backbone of India’s economy, employing over half of the country’s population. To support this crucial sector, several banks and financial institutions provide specialised agricultural finance for farmers, agri-businesses, and rural development projects.

In this article, we will list the top agricultural banks in India in 2026 and will also explain what agricultural banks are, their key functions, and how they differ from other types of financial institutions.

What is an Agricultural Bank?

Now, let us first understand what an agricultural bank is from the following points:

An Agricultural Bank is a financial institution that provides credit and financial services specifically for farmers, rural entrepreneurs, and agricultural activities.
These banks finance crop cultivation, equipment purchase, irrigation, storage, processing, and allied sectors like dairy, poultry, and fisheries.
Their objective is to promote rural development and ensure the financial inclusion of the farming community.
They work in coordination with NABARD (National Bank for Agriculture and Rural Development), which supervises and supports them.
Agricultural banks may function as co-operative banks, regional rural banks (RRBs), or dedicated financing divisions of commercial banks.

List of Top Agricultural Banks in India

Here is the list of leading agricultural and rural-focused banks in India in 2026, supporting millions of farmers and rural enterprises:

Bank Name	Headquarters	Key Agricultural Services	Highlights	Contact Number
NABARD (National Bank for Agriculture and Rural Development)	Mumbai	Refinance support, rural development, farm infrastructure funding	Apex body for rural and agricultural financing in India.	022- 68120019
State Bank of India (SBI)	Mumbai	Kisan Credit Card, Agri Loans, Farm Mechanisation Loans	Largest lender to the agricultural sector.	1800 11 2211
Punjab National Bank (PNB)	New Delhi	Agri Term Loans, Crop Loans, Dairy and Poultry Loans	Focused on small and marginal farmers.	1800 1800
Bank of Baroda (BoB)	Vadodara	Agri Infrastructure Loans, KCC, Tractor Loans	Offers diverse schemes for agribusiness and allied activities.	1800 5700
Canara Bank	Bengaluru	Rural Development Loans, Agri Gold Loans, KCC	Operates Rural Self Employment Training Institutes (RSETIs).	1800 1030
Union Bank of India	Mumbai	Agri Investment Credit, Farm Loans, Green Energy Loans	Supports sustainable farming and solar-powered irrigation.	1800 208 2244
Indian Bank	Chennai	Crop Loans, Agri Allied Activities, Farm Mechanisation	Major player in South Indian agri-finance sector.	1800 1700
IDBI Bank	Mumbai	Agricultural Finance, Rural Development Loans	Offers refinance support and farm credit programs.	1800 209 4324
Central Bank of India	Mumbai	Kisan Credit Card, Agri Infrastructure Loans	Long-standing commitment to rural credit delivery.	1800 3030
Maharashtra Gramin Bank	Aurangabad	Crop and Term Loans, KCC, Rural Development Loans	Strong regional focus on Maharashtra’s farming sector.	0240-2590050

Key Functions of Agricultural Banks

The following are the key functions of agricultural banks:

Providing short-term and long-term credit to farmers.
Financing for farm equipment, irrigation, and rural infrastructure.
Supporting crop insurance and risk management programs.
Facilitating subsidy-linked and government-sponsored schemes.
Promoting financial literacy and inclusion in rural areas.

Difference Between Agricultural Banks, Cooperative Banks, and Regional Rural Banks

The following are the major differences between agricultural banks, cooperative banks and regional rural banks:

Feature	Agricultural Banks	Cooperative Banks	Regional Rural Banks (RRBs)
Primary Focus	Agriculture and rural finance	Agriculture and community credit	Rural development and small enterprises
Ownership	Government or Apex Institution	Member-owned (cooperative structure)	Joint ownership (Central Govt, State Govt, Sponsor Bank)
Regulator	NABARD, RBI	NABARD, RBI	NABARD, RBI
Main Clients	Farmers, agri-businesses	Farmers, small borrowers	Rural households and small industries
Key Role	Policy-level and direct financing	Local-level agricultural support	Bridging the rural credit gap

Benefits of Agricultural Banks

The following are the benefits of agricultural banks:

Boost agricultural productivity through timely credit support.
Promote rural entrepreneurship and self-employment.
Provide low-interest loans and subsidies under government schemes.
Encourage sustainable and technology-driven farming.
Strengthen rural infrastructure and supply chains.

Challenges Faced by Agricultural Banks

The following are the challenges faced by agricultural banks:

High credit risk due to weather and market fluctuations.
Dependence on government subsidies and refinancing support.
Limited digital penetration in remote rural areas.
Difficulty in loan recovery and NPA management.

Conclusion

Agricultural banks are the lifeline of India’s rural economy. By offering dedicated funding, training, and financial inclusion programs, they empower millions of farmers and help modernise the agricultural landscape. In 2026, as the government pushes for smart and sustainable farming, these banks continue to play a vital role in building a stronger, self-reliant Bharat.

Frequently Asked Questions

Which bank is the apex body for agriculture finance in India?

The National Bank for Agriculture and Rural Development (NABARD) is the apex institution regulating and refinancing agricultural credit.

Do agricultural banks offer crop insurance?

Yes, many agricultural banks provide crop insurance and weather-based insurance under government schemes like PMFBY.

Can small farmers get loans without collateral?

Yes, under Kisan Credit Card (KCC) and certain government-backed programs, small farmers can access collateral-free loans.

How do agricultural banks differ from commercial banks?

Agricultural banks focus on rural and farming sectors, while commercial banks cater to urban, retail, and corporate clients.

Which are the leading public sector banks for agricultural loans?

SBI, PNB, Bank of Baroda, and Canara Bank are leading providers of agricultural loans and rural finance in India.

Author: Diwakar Kumar Singh

Diwakar Kumar Singh is an accomplished content creator with over 6 years of experience in crafting both long-form and short-form content.

A gold medalist in MBA (Marketing) from IMT and a qualified petroleum engineer, Diwakar brings a results-driven mindset to his work. His passion for writing enables him to produce compelling and engaging content that resonates with diverse audiences.