Karnataka Farm Loan Waiver Scheme to Waive off Nationalised Bank Loans of Farmers

Karnataka Farm Loan Waiver Scheme

Karnataka Farm Loan Waiver Scheme – Karnataka govt. has cleared the arrangement for Farm Loan Waiver Scheme to forgo off Nationalized Banks Loans of Farmers. Under this plan, all product credits of the ranchers taken from nationalized banks will be postponed. Indeed, even the agriculturists who have reimbursed advances on time will get motivating forces. The state govt. will give Rs. 30,160 crore to the banks including Rs. 7,419 crore enthusiasm to profit around 23 lakh advance financial balance holders.

With all the nationalized banks declining to acknowledge the zero premium bonds or waiver of enthusiasm on current credits, the state govt. expects an extra weight of Rs. 30,160 crore to defer off product credits. Karnataka Farm Loan Waiver Scheme Also, every one of the banks have consented to acknowledge installment in portions yet with premium figured for each of the 4 years over which the advance repayment will be spread.

After the CM H.D. Kumaraswamy meeting with banks official on 25 August 2018, it is chosen that banks are prepared to issue “No-Debt Certificate” to ranchers promptly.

Karnataka Farm Loan Waiver Scheme for Nationalised Bank Loans

As per the official statement said “We have decided on the quantum to be set aside for Karnataka Farm Loan Waiver Scheme for Nationalised Bank loans over the next 4 years. Total loans from nationalised banks are to the tune of Rs. 30,160 crore. This is apart from the loans availed from co-operative banks. All put together, the waiver package is worth Rs. 42,000 to 43,000 crore”.

The interest alone on the total waiver will run upto Rs. 7,419 crore. The govt. intends to repay the loans from budgetary allocations. Karnataka Farm Loan Waiver Scheme – Karnataka govt. will make repayment in less than 4 years. Now the farmers will not have to deal with banks anymore. Now it is only between banks and the state government. Farmers can now avail fresh loans from banks.

This move will profit 16.94 lakh credit account holders notwithstanding 6.23 lakh account holders who will get motivating forces for having their reimbursed advances. The arrangement is to forgo off credits of ranchers from nationalized banks and boost account holders to profit 23 lakh advance record holders.

Karnataka Farm Loan Waiver Scheme

Karnataka Farm Loan Waiver Scheme

While 30,163 crore is the evaluated sum including the enthusiasm for the following 4 years. In any case, 2 IAS officers who have been designated as nodal officers will work out the real cost to the govt. after counsel with the banks. These authorities will likewise guarantee that the credit waiver plot just advantages the agriculturists and neither the banks nor the brokers.

Back Dept is before long going to issue an administration arrange for Farm Loan Waiver Scheme. After this warning, ranchers are probably going to get “No-Debt Certificates” from banks which will make them qualified for crisp advances.

When Banks will be Paid Back?

Karnataka govt. will make payments to the banks in the next 4 years. The amount to be paid is shown in the table below:-

Financial Year Amount
2018-19 Rs. 6500 crore
2019-20 Rs. 8656 crore
2020-21 Rs. 7621 crore
2021-22 Rs. 7131 crore

Beforehand, the state govt. has postponed off the yield advances of agriculturists from Regional Rural Banks, Co-agent banks. Presently the state govt. has deferred off the credits from nationalized banks likewise to finish the ranch advance waiver process. From today ahead, any bank can’t pester ranchers for the advance sum as it was guaranteed amid decisions.

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