This course explains Interest Subvention Risk and how the risks arising from dependence on interest subvention schemes are identified, assessed, and governed within Agri & Rural Commercial Credit. It covers the key dimensions of subsidies, insurance arrangements affecting viability and outcomes, sector risk, and collateral evaluation, emphasizing the need for structured assessment, clear boundary definition, and independent validation before credit decisions are finalized. The course also distinguishes Interest Subvention Risk from broader portfolio diversification strategies, and highlights its role within Schemes, Subsidy & Insurance Risk, including limit setting, exception handling, and escalation to credit committees.