Maharashtra’s revised farm loan waiver to increase state’s burden by Rs 500 crore

By: |
Mumbai | Published: August 29, 2018 10:42:07 AM

The Maharashtra government's revised farm loan waiver norms, which will increase the number of beneficiaries, will cost the state an additional Rs 500 crore, an official said today.

Maharashtra, farm loan, farm loan waiver, Maharashtra farm loan waiver, Maharashtra government, crop loan waiver, indiaThe government had then pegged the total loan waiver amount at around Rs 34,000 crore. (Representative image: PTI)

The Maharashtra government’s revised farm loan waiver norms, which will increase the number of beneficiaries, will cost the state an additional Rs 500 crore, an official said today. The state government has already spent Rs 15,882 crore for the implementation of its ‘Chhatrapati Shivaji Maharaj Shetkari Sanman Yojana’, designed for crop loan waiver, which was announced in June last year. The government had then pegged the total loan waiver amount at around Rs 34,000 crore. Around 58 lakh farmers are currently covered under the scheme, the state government said during the Maharashtra Assembly’s monsoon session held last month.

The state government expanded the scope of the loan waiver scheme last month by extending its benefits to every member of the farmer’s family in case of them having separate loan accounts. Earlier, the state government had considered the farmer’s family as one unit, eligible to claim waiver of Rs 1.50 lakh agricultural debt. However, it had left those families dissatisfied where there were multiple people having outstanding loans, a state government official said.

“We want to address this unrest among farmers, so norms for loan waiver implementation have been changed. But going by our assessment, the additional burden would not be more than Rs 500 crore,” the official said. “After the revised norms, the total number of farmers who would benefit from the loan waiver scheme would not be more than 65 lakh,” he added.

Follow financialexpress.com for all news and analysis on the Lok Sabha Elections 2019. Check Lok Sabha election 2019 schedule, Lok Sabha Constituency Details and updates on campaigning by Narendra Modi and Rahul Gandhi. Like us on Facebook, follow us on Twitter.

FinancialExpress_1x1_Imp_Desktop