Telangana state Government has started the second phase of waiving off the loans from 16th August and the whole process is expected to be finished by 30th August 2021.
The State Government had initiated a trial run for the waiver of farm loans worth Rs 2,005 crore on the occasion of Independence day. The actual farm loan waiver has begun from 16th August, said Telangana’s Agriculture Minister Niranjan.
This waiver is extended to 6 lakh farmers across Telagana, who have availed crop loans ranging between Rs 25000 and Rs 50000. The minister said in a statement, as a part of trial run on Sunday, loans between Rs 25000 and Rs 25100 were waived off and the whole process is expected to finish by 30th August 2021. He also said that between 2014 and 2018 the government had waived off loans of total Rs 16144 Crore.
As a part of a trial run the farm loans between Rs 25000 and Rs 25100 were waived off. And from Monday loans above Rs 25000 would be waived off, On Tuesday Rs 26000 would be waived off.
The whole process is expected to get finished by August 30.
Crop Loan Waiver: Back-story
Chief Minister Chandrasekar Rao had promised to waive off crop loans up to Rs 1 lakh each during 2018 December Assembly election, if the TRS was elected back to power. The TRS retained power. At that time, it was estimated that the scheme required Rs 25000 Crore to waive the crop loans.
After realizing that it would be difficult to sanction this much amount in one go, the CM decided to implement the scheme in 4 phases- that is to waive loans up y ors 25000 in first phase upto 50000 in second and so on up to Rs 1 lakh in the fourth phase.
