Rajasthan announces loan waiver for farmers, to cost R 8,000 crore

JAIPUR, Feb 12: Rajasthan chief minister Vasundhara Raje on Monday announced one-time crop loan waiver of up to R 50,000 for small and marginal farmers and land revenue exemption.
The loan waiver is for the marginal farmers in the overdue and outstanding category of short loan provided by cooperative banks. This will cost R 8,000 crore to the state exchequer. Raje also announced constitution of a farmers debt relief commission that will work as a permanent institution. Farmers would be able to get relief on merit basis after presenting their case before the commission. She also announced land revenue (lagan) exemption that would benefit almost 40-50 lakh farmers. To promote agro-based industries and services, Raje announced to increase maximum limit of interest subsidy in a year from R 5 lakh to R 7.5 lakh.
Interest subsidy for women, disabled, SC/ST and entrepreneurs who are bonafide residents of Rajasthan and are up to 40 years of age, was enhanced to 6 per cent from 5 per cent.
Infrastructure support subsidy with maximum limit of R 5 crore was also proposed for first unit established in most backward area investing more than R 50 crore under each sector of agro-processing and agri-marketing, bio-technology and IT sector. (Agencies)