Maharashtra waives Rs 34,000 crore farm loans, MLAs to donate a month's salary

Farmers in Maharashtra had hit the streets demanding a loan waiver earlier in June.

The Maharashtra government on Saturday announced a Rs 34,000 crores waiver for farmer loans. Chief Minister Devendra Fadnavis said that the state would cut down expenses to deal with the burden.

Maharashtra ministers and MLAs will also support the waiver by donating a month's salary. "We will cut our expenses to deal with the burden. All ministers and MLAs will give one month salary to support loan waiver," said Chief Minister Devendra Fadnavis.

"We have decided to waive off loans of Rs 34,000 crores. We are waiving loans up to Rs 1.5 lakhs completely. Farmers who have repaid loans regularly will get a 25 percent loan return benefit," said Chief Minister Devendra Fadnavis. Fadnavis had promised a loan waiver before October 31 following violent farmers' protest in Maharashtra.

Fadnavis added that the loan waiver scheme will be called Chhatrapati Shivaji Maharaj Krishi Samman Yojana. "The scheme will benefit a total of 89 lakh farmers and will make 40 lakh farmers who have borrowed less than Rs 1.5 lakh debt-free," he added.

Maharashtra was the second state to announce a loan waiver following ryot agitations. The announcement by the Maharashtra government comes two days after the Congres-ruled Karnataka government announced a partial loan waiver.

OneIndia News