Period for repayment of loans for purposes (a) and (c) of section 4(1)

Period for repayment of loans for purposes

1. (a) and
2. (c) of section 4(1).

1. (1) Every loan granted under this Act for purposes mentioned in clauses
   • (a) and
   • (c) section 4
2. (1) of this Act, shall be made repayable by instalments (in the form of an annuity or otherwise) within such period from the date of the actual advance of the loan, or, when the loan is advanced in instalments from the date of the advance of the last instalment actually made, as may be fixed by the officer granting the loan.
3. (2) The period for repayment, fixed as aforesaid, shall not ordinarily exceed twenty years, and shall be determined having regard to the durability of the work for the purpose of which the loan is granted and to the expediency of the cost of the work being paid by the generation of persons who will immediately benefit by the work.
4. (3) Notwithstanding anything contained in sub-sections
5. (1) and (2), any loan granted for purposes of purchasing seeds, fertilizers, pesticides and insecticides, under sub-clause
   • (c) of sub-section
6. (1) of section 4 shall be repaid by the borrower in lump within one year from the date of the advance of the last instalment.