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10,000 cr farm debt write-off fund approved

Reuters
Posted online: Thursday , March 27, 2008 at 1244 hrs IST

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New Delhi, March 27: India's cabinet on Thursday approved a 100 billion rupee ($2.49 billion) fund that will be used to partly finance a massive scheme to write off debt owed by millions of small farmers, a government spokesman said on Thursday.

The debt waiver was announced in February's budget and was widely seen as a populist measure ahead of general elections which must be held by May 2009.

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