UP writes off R1,650-crore farm loans on Mulayams birthday

Written by fe Bureau | Lucknow | Updated: Nov 23 2012, 06:40am hrs
In a bonanza for the seven lakh-odd farmers in the state, the Uttar Pradesh government announced it would waive loans of up to Rs 50,000 taken from from the UP Cooperative Rural Development Bank. The announcement was timed with the 74th birthday of Samajwadi Party supremo Mulayam Singh Yadav.

At a press conference here on Thursday, chief minister Akhilesh Yadav said loans amounting to around R1,650 crore would be waived in a move directly benefiting around 7.2 lakh farmers.

The SP had promised, before the state elections, that if voted to power, loans of up to R50,000 would be waived, provided farmers had repaid at least 10% of the loan amount by March 31. The remaining amounts, including interest, is being waived, Yadav said. The chief minister added that the SP had also promised to abolish the provision of auctioning mortgaged land against which loans had been taken.It is our belief that unless farmers prosper, the country will not move forward. It is our endeavour to continue taking decisions that will prove beneficial to the farmers, he said.