Abstract: Agriculture continues to be the backbone of the state’s economy in Odisha. Nearly 58 percent of the rural households depend on agriculture for their primary means of livelihood, but this sector continues to be subsistence oriented and susceptible to natural shocks such as droughts and floods. As agriculture depends on monsoon, a major segment of this population does not have sufficient income even to meet their daily expenses and for them the possibilities of savings and investment are almost stagnant. They require credit in their day to day life, to purchase agricultural inputs and adopt modern technology. Thus, timely and adequate quantum of agricultural credit is critical for the socio-economic development of the agricultural farmer.