Agricultural credit is a crucial input for increasing agricultural production and productivity. Financial sector reforms, ushered in as a part of the liberalization of the Indian economy have infused a spirit of competitiveness and enterprise among the banks in their endeavor towards providing adequate agricultural credit for the needy. Several innovative strategies have been evolved by NABARD. The instrument of Kisan Credit Card (KCC) is one of the key products developed to improve the farmer’s accessibility to bank credit, simplify credit delivery mechanism and provide more flexibility in use of credit. As a pioneering credit delivery innovation, Kisan Credit Card Scheme aims at provision of adequate and timely support from the banking system to the farmers. A careful perusal of the existing literature indicated that there had been rare studies concentrating on the regional inequality in the use of KCC. As such the study is a pioneering effort aiming at analyzing the state wise variations in the use of KCC. The current study on “ Kisan credit card scheme and the inter –state Disparities in its use- An empirical analysis.” is formulated with the following objectives: To find out the extent of disparity in the use of KCC in the major states of India and To identify the factors causing the regional disparity in the use of KCC.