Assam Government Approves Rs 600 Crore Farm Loan Waiver

The Assam government during a cabinet meeting on Monday evening decided to write off 25% of loan of the farmers up to Rs 25000 under the State's Debt Relief Scheme. According to media reports, the decision is expected to cost the state government Rs 600 crore.

Earlier on Monday, the newly-appointed Chief Ministers of Chhattisgarh and Madhya Pradesh had announced writing off farmer debts.

And seeing all this, Assam government also decided to bring in interest relief scheme for the farmers up to 4 % and following it the farmers will get crop loans at zero % interest.

In addition, there will be a provision of up to Rs 10000 subsidy if they take loans from Kisan Credit Card (KCC).

Assam Industries Minister Chandra Mohan Patowary said, "The state government has decided for a 25% loan waiver for farmers up to Rs 25,000. Cabinet has also introduced interest relief scheme”.

Additionally, the Assam cabinet also decided to raise state freedom fighters' pension from the existing Rs 20,000 to Rs 21,000.

Patowary said that the government has also decided to revive the jute mill in Nagaon and for this it has taken a loan of Rs 32.72 crore from the National Cooperative Development Corporation.

The cabinet also took decision for the development of micro and small enterprises sector in Assam.

Conversely, the Assam Pradesh Congress Committee has termed the state government's scheme as a lollipop. Senior Congress leader, Pradyut Bordoloi said that the loan waiver is unimportant and government must take big steps to benefit the farmers.