Waiving farmers' crop loan is expected to help Congress stay ahead of its political rivals - BJP and the BRS - in the local body elections.
Published Jul 30, 2024 | 5:58 PM ⚊ Updated Jul 30, 2024 | 5:58 PM
Telangana CM Revanth Reddy
Telangana Chief Minister A Revanth Reddy on Tuesday, 30 July, released ₹6,190 crore towards the waiver of crop loans between ₹1 lakh and ₹1.5 lakh availed by 6.4 lakh farmers in the state.
The chief mister released the money at a function held on the premises of the State Assembly. The release of the second tranche of the loan waiver funds is expected to help Congress reap a rich harvest of votes in the ensuing local body elections.
The Congress government in the state has already cleared crop loans up to ₹1 lakh availed by 11.34 lakh farmers by releasing ₹6,035 crore. Till now, as many as 17.75 lakh farmers have been freed from the yoke of debt after the government released ₹12.225 crore to banks for crediting it into the loan accounts of the farmers.
Waiver of crop loans for farmers up to ₹2 lakh was one of the major promises made by the Congress in the run-up to the Assembly elections in the state in November 2023. The state had estimated that it would have to pay ₹31,000 crore to banks to clear all crop loans up to ₹2 lakh availed by farmers.
Accordingly, it had mobilised funds to keep its promise. The government is keen on waiving crop loans between ₹1.5 lakh to ₹2 lakh by the end of August.
The gesture of the state government in redeeming its promise of clearing the farmers’ debt is expected to help it keep it ahead of its political rivals – BJP and the BRS – in the local body elections where the voters are mostly farmers.
The government is making necessary preparations for the State Election Commission to hold the elections to local bodies as early as possible. The voters’ list for the local bodies is yet to be cleared by the Election Commission and once the State Election Commission receives it, which may be within the next 10 days, it would set the ball rolling for the conduct of the elections.
Speaking during the event, Revanth Reddy said that debts of the farmers have been waived as the government had always placed farmers first in governance. “The state government has redeemed the promise made by party top leaders Sonia Gandhi and Rahul Gandhi to the farmers. The crop loan waiver scheme is being implemented in pursuance of the Farmers’ Declaration released by Rahul Gandhi in Warangal on 6 May 2022,” he said.
Training his guns at the previous BRS government, Revanth Reddy said that it had not waived even ₹25,000 crore of farmers loans but the present dispensation, despite crushing burden of debts, had mobilised funds to keep its promise made to the farmers.
“Many opposition party leaders had asked how the state could waive the loans when it was saying that it was sitting on a pile of debts. Though the odds were stacked against us, we worked hard and mobilised funds,” the chief minister said, adding that it was in proof the Congress’ government’s commitment to the welfare of the farmers.
Recalling the good work that was done by the Congress for farmers at the national level since Independence, he said it was former prime minister Jawaharlal Nehru who had brought about green revolution.
“The Congress moved forward with the slogan – Jai Jawan, Jai Kisan. Later on former Prime Minister late Indira Gandhi had nationalised banks to help the farmers get loans at reasonable rates of interest. It was Sonia Gandhi under whose watch Food Safety Act was brought. It was the Congress which had spent ₹72,000 crore for waiver of the farmers across the nation,” he said.
Revanth Reddy reiterated that he would clear crop loans between ₹1.5 lakh and ₹2 lakh by the end of August. “July and August are two months which should find place on the annals of the state history as in no state in India loan waiver of this magnitude was ever done,” he said and complimented the Finance Department for mobilising ₹12,000 crore in a span of 12 days.
(Edited by Neena)
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