Moneycontrol
Sep 13, 2017 10:23 AM IST | Source: Moneycontrol.com

Question marks over minuscule amounts as UP begins first phase of loan waivers

Livemint looked at data which shows that the loan amounts waived are as low as as Rs 1-100 per farmer for 4,814 farmers.

Question marks over minuscule amounts as UP begins first phase of loan waivers

Moneycontrol News

The Uttar Pradesh government has begun the first phase of farm loan waivers amounting to Rs 7,371 crore, according to an official statement on Tuesday.

The government said that the loans of 11.93 lakh small and marginal farmers will be resolved in this phase.

However, Livemint looked at data which shows that the loan amounts waived are as low as as Rs 1-100 per farmer for 4,814 farmers and anywhere between Rs 100 and Rs 500 for 6,895 farmers, whereas amounts greater than Rs 10,000 were waived for 1.12 lakh farmers.

The report also quoted a rights activist from Hamirpur who stated that some farmers received loan waiver certificates for amounts as low as Rs 10.

The government in an official statement said that the low amounts are owing to the unpaid amount of interest dues that have been waived for farmers who have repaid most of their crop loans.

In April, the Uttar Pradesh state government had announced a waiver of crop loans of up to Rs 1,00,000 for every small and marginal farmer owning less than five acres of land. The total amount to be waived was estimated to be Rs 36,359 crore for 8.6 million farmers.

Following UP's loan waiver announcement, Punjab, Maharashtra and Karnataka followed suit , where a total of Rs 85,000 crore is to be waived for 14.9 million farmers in these four states.
Sections
Follow us on
Available On