Telangana Chief Minister Revanth Reddy has made a notable announcement to ease the financial strain on farmers by initiating a farm loan waiver scheme scheduled to begin on July 18. The scheme will start by waiving farm loans up to Rs. 1 lakh, with funds being directly deposited into farmers' loan accounts by the evening of July 18.
The Telangana government issued comprehensive guidelines for waiving crop loans up to Rs. 2 lakh. The government order outlines the eligibility criteria and modalities for implementation. This program is applicable to loans that are due as of December 9, 2023, and that are granted or renewed on or after December 12, 2018. Each farmer's family is eligible for a waiver covering the entire outstanding principal and interest up to Rs. 2 lakh as of the cutoff date.
During a meeting in Hyderabad with District Collectors and Superintendents of Police, Chief Minister Reddy highlighted the immediate implementation of the loan waiver program, which will begin with waiving loans up to Rs. 1 lakh. The state government will ensure that the funds are directly transferred to the farmers' loan accounts by July 18. An official release underscored strict instructions to bankers to prevent any diversion of the funds, warning of stringent actions against any violations.
Identification of eligible farmers will be based on their food security cards or ration cards, ensuring that the most vulnerable farmers receive the intended relief
This loan waiver is a fulfilment of the Congress party's promise made during the State Assembly elections last year. However, the move has drawn criticism from opposition parties, including the BJP and BRS. They argue that the conditions imposed under the guidelines may exclude many farmers from benefiting from the scheme.
This farm loan waiver is expected to provide much-needed respite to thousands of farmers across Telangana, reflecting the state government's commitment to supporting the agricultural sector.
