Manohar Lal Khattar Announces Rs 4,750 Crore Farmer Interest Waiver


Manohar Lal Khattar announced Rs 4,750 crore interest and penalty waiver on crop loans; to be taken from cooperative banks that will benefit 10 lakh farmers

Written By Manjiri Chitre | Mumbai | Updated On:
Manohar Lal Khattar

Manohar Lal Khattar, the Chief Minister of Haryana announced on Monday that Rs 4,750 crore interest and penalty waiver on crop loans will be taken from cooperative banks. This move will benefit around 10 lakh farmers in the state. "A total benefit of Rs 4,750 crore will be given to farmers. This amount may go up by Rs 100 crore to Rs 200 crore as exact calculation is to be worked out. We have given a package of roughly Rs 5,000 crore to farmers," he said.

Also read: Manohar Lal Khattar, Yogi Adityanath In Russia As Part Chief Ministers' Delegation

Benefits to farmers

Around 10 lakh farmers who had borrowed from Primary Agriculture Cooperative Societies (PACS), District Cooperative Central Banks (DCCB) and Land Mortgage Bank (LMB) will be benefitted. Five percent penalty was imposed on the farmers who have failed to repay the loans taken from PACS. This penalty will now be completely waived. It will give a benefit of Rs 2,500 crore to borrowers of PACS, Khattar said. He further stated that out of the 13 lakh farmers who had borrowed from PACS, 8.25 lakh farmers’ account had turned into non-performing assets (NPAs). According to the Chief Minister, a benefit of Rs 1,800 crore will be given to borrowers of DCCB if they pay principal amount along with simple interest by November 30. "Around 85,000 farmers had taken loans worth Rs 3,000 crore from DCCB. Out of which, accounts of 32,000 farmers involving an amount of Rs 800 crore have turned NPAs," he said.

 Also read: Former Haryana CM Bhupinder Hooda Slams Cong Leaders For Opposing Article 370 Revocation, Says 'no Compromise On Patriotism'

Farmers would pay 2 percent interest for loans less than Rs 5 lakh, 5 percent interest for loans between Rs 5 lakh to Rs 10 lakh and 10 percent interest on loans in excess of Rs 10 lakh. This will give a benefit of Rs 1,800 crore to farmers. In case of loan from LMB, the Chief Minister stated that out of the total 1.10 lakh borrowers, 70,000 accounts had been declared NPAs. Out of their total outstanding payment, Rs 750 crore was principal amount and Rs 1,400 crore as interest and penalty. "Their penal interest would be waived. Farmers will have to pay 50 percent of simple interest and the rest will be borne by the state government. It will give a benefit of Rs 450 crore to farmers,” he said. 

Also read: 'Atal Bihari Vajpayeeji's Spirit Will Bless PM Modi For Ending Article 370,' Says Amit Shah, Dedicates It To Martyrs

Manohar Lal Khattar on the upcoming Harayana Elections

According to Haryana’s Chief Minister Manohar Lal Khattar, the BJP government has received an overwhelming support for the revocation of Article 370. He stated that the decision has broken all caste barriers in Haryana and the Bharatiya Janata Party’s popularity has shot up immensely. “After the abrogation of Article 370, admiration towards the BJP and its leadership has further increased in Haryana and across the country,” he said. According to him, the opposition party is trying to take advantage by exploiting people's sentiments in Kashmir.

Also read: Amit Shah Slams Congress Leaders On Rahul Gandhi's Comments On Kashmir


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