Telangana government launches second phase of crop loan waiver scheme to benefit 6.4 lakh farmers

In the two phases, the government released ₹12,289 crore to credit into 17.91 lakh bank accounts of 16.29 lakh families

Keeping its poll promise of waiving crop loans up to ₹2 lakh, the Telangana government launched the second phase of the scheme where loans up to ₹1.5 lakh are to be waived.

Launching the scheme at the Assembly on Tuesday, Chief Minister A. Revanth Reddy said that the government has released ₹6,198 crore to banks towards loan waiver of over 6.5 lakh farmers in the second phase. He instructed the banks to utilise the amount strictly for loan waiver and not deviate the released amounts towards other loans obtained by the farmers. The government has waived off ₹12,000 crore farm loans in 12 days and the next phase would cover the farmers who have taken ₹2 lakh loan.

Deputy Chief Minister Bhatti Vikramarka, Assembly Speaker Gaddam Prasad, Council Chairman Gutta Sukhender Reddy, ministers Tummala Nageswara Rao, N Uttam Kumar Reddy, Ponguleti Srinivas Reddy, Ponnam Prabhakar were among present. BJP MLAs and CPI MLA too were present.

Speaking after handing over the cheques to a few farmers, Mr. Revanth Reddy said farmers in Telangana secured freedom from the mounting debt burden in August when India got its freedom in the same month in 1947. July and August months will be being remembered as the significant and remarkable months in the history of the country, he said.

The Chief Minister said that the waiver of farm loans by allocating a whopping ₹31,000 crore funds at one go created a new record in the history of the country. No State ever waived such a large amount of crop loans. “Unlike other political parties who remember farmers only before elections, we proved our sincerity making farmers part of our growth story,” he said and recalled that the Manmohan Singh government led by Sonia Gandhi brought the Food Security Act, waived of loans of ₹72,000 crore and supported the farmers.

Mr. Reddy took potshots at the BRS stating that the previous government in its first term waived farm loans in four instalments and the farmers had to pay more interest than the actual loan. In the second term too, the same promise was made but it released only ₹12,000 crore as against the requirement of ₹19,000 crore just before the elections.

Bhatti says crop insurance too

Mr. Bhatti Vikramarka said that overall in the two phases the government was releasing ₹12,289 crore to credit into 17.91 lakh bank accounts of 16.29 lakh families. He recalled how the BRS government heckled the Congress promise made by Rahul Gandhi in the Warangal meeting and said Congress does what it speaks.

Asserting that this government would not be confined to loan waiver alone, Mr Bhatti Vikramarka said that the government would also pay crop insurance premium on behalf of farmers.