Telangana a role model for farm loan waiver: Revanth Reddy

Hyderabad, July: Telangana Chief Minister A. Revanth Reddy on Thursday said that the state has become a role model by launching the scheme to waive crop loans of up to Rs 2 lakh, for the first time in any state in the country.

While launching the scheme to waive total farm loans of Rs 31,000 crore, he termed it a "memorable day" in his 16-year-old political career.

Addressing the farmers gathered at 577 Rythu Vedikas in the state through video conference, the Chief Minister said that senior party leader Rahul Gandhi had announced the Rs 2 lakh farm loan waiver scheme in the farmers’ declaration at a public meeting at Warangal on May 6, 2022. He recalled that Sonia Gandhi had made six promises on September 17, 2023, and this included the farm loan waiver.

He said that he, along with Deputy Chief Minister Bhatti Vikramarka, will go to Delhi to express their gratitude to Sonia Gandhi and Rahul Gandhi and invite them to attend a thanksgiving public meeting in Warangal Arts College where the party made the promise of loan waiver.

The Chief Minister said that Rs 6,098 crore has been released to clear the farm loans up to Rs 1 lakh in the first instalment. In the second instalment, loans up to Rs 1.50 lakh will be waived and Rs 2 lakh loans will be waived in the third phase before August end.

A total of Rs 31,000 crore will be deposited in the farmers’ accounts to waive their loans.

Since the government assumed office on December 9, which is the birthday of Sonia Gandhi, the government decided to waive loans taken between December 12, 2018 and December 9, 2023. Criticising his predecessor K. Chandrasekhar Rao, Revanth Reddy said he waived the farm loans of not more than Rs 12,000 crore and that too in instalments as against the promise of Rs 16,000 crore in the first term of the BRS. After coming to power for the second consecutive time, KCR, as Rao is known, made the promise of a waiver of Rs 12,000 crore and again cheated the farmers by waiving only Rs 9,000 crore loans, he added.

He said in 10 years, the BRS waived farm loans of Rs 21,000 crore.

Revanth Reddy said that some people are creating a misconception that ration cards are mandatory to avail the farm loan waiver benefits and reiterated that ration cards are only for the identity of the farmer’s family. The benefit will be extended on the basis of a passbook.

The Chief Minister suggested to the officials to contact bank officials in case technical problems arise in the implementation of the scheme. He thanked the bank management for accepting the implementation of the loan waiver scheme by addressing the challenges. He also asked the officials of the Agriculture Department to ensure that the loan waiver money is deposited in the farmer's accounts directly.

He alleged that the previous BRS government imposed a debt burden of Rs 7 lakh crore on the state. At the time of the formation of Telangana, the interest on outstanding debts was Rs 6,500 crore per year. Today, the government is paying Rs 7,000 crore interest every month, he said. Revanth Reddy said despite facing financial challenges, his government has been paying the salaries promptly to the government employees and has already spent Rs 29,000 crore to implement six guarantees in just 8 months.