The State Government in Hyderabad has released guidelines for a loan waiver scheme for farmers. To be eligible for a Rs 2 lakh loan waiver, farmers must have white ration cards. The money will be directly deposited into the farmers’ accounts. The scheme considers the farmer’s family as a unit, with loans taken in the name of women being waived first, followed by other family members. This scheme only applies to short-term loans.
The government has warned that they will recover money if anyone is found to have engaged in malpractices to avail the loan waiver scheme. The guidelines, outlined in a government order issued on Monday, state that the Civil Supplies department’s food security card database will be used to define a farmer’s family. The loan waiver will cover loans obtained between December 12, 2018, and December 9, 2023, from scheduled commercial banks, rural banks, and district cooperative banks.
However, the farm loan waiver will not apply to loans secured by SHGs, JLGs, RMGs, or LECS. It also won’t apply to rescheduled or reorganised loans secured by firms or companies, but it will apply to loans secured through PACS. Farmers with loans exceeding Rs 2 lakh will need to pay the excess amount to the banks before the remaining Rs 2 lakh is deposited into their loan account.
To address complaints raised by farmers, the Agriculture department will set up grievance cells where complaints can be lodged at the mandal level. Officials will process the applications within 30 days and inform the farmers of the outcome. Each bank will appoint a nodal officer to coordinate with the Agriculture department and NIC for managing the official portal of the farm loan waiver scheme. The officer will be responsible for digitally signing off on farm loans from their respective banks.
