Telangana Cabinet approves loan waiver of Rs 2 lakhs per farmer; Rs 31,000 crores crop loans

Hyderabad: Telangana Cabinet has decided to waive crop loans up to Rs 2 lakhs per farmer taken between December 12, 2018 and December 9, 2023. The initiative would cost the state exchequer Rs 31,000 crores.

The decision was taken in the Cabinet meeting of the Telangana State government, chaired by chief minister A Revanth Reddy, on Friday.

“A government order will be released soon along with the guidelines of the crop loan waiver. The criteria and details of the implementation of the crop loan waiver will be clearly stated in the order” said CM Revanth Reddy.

“As per the Warangal Rythu Declaration, we are going to keep our word and implement what we have promised earlier. The loan waiver is going to happen and I would like to say that our party leaders Sonia Gandhi, Rahul Gandhi and Mallikarjun Kharge do not turn back on their word. We have taken this decision within eight months of the formation of Congress government to make it clear to people that we implement what we declare,” he added.

Cabinet sub-committee to submit report by July 15

A Cabinet sub-committee is to be formed to prepare the guidelines for Rythu Bharosa and ensure transparency of assurances to the farmers, the CM said.

This sub-committee would be led by deputy chief minister Mallu Bhatti Vikramarka, Tummala Nageshwar Rao, Sridhar Babu and Ponguleti Srinivas Reddy.

The Cabinet sub-committee will submit a report to the government by July 15.

Ministers Ponguleti Srinivas Reddy and D Sridhar Babu will be the spokespersons of the Cabinet sub-committee.

Loan waivers by BRS government

The previous BRS government, in the last 10 years of its rule, had waived loans amounting to Rs 28,000 crores. The previous government had waived off loans with the cut-off date of December 11, 2018.