Loan Waiver Scheme: Rs 400 Crore Loans to be Waived Before Navratri

Key Highlights

• Loan waiver of up to Rs 2 lakh for Jharkhand farmers.
• 1,76,977 farmers to benefit before Navratri.
• Rs 400 crore of agricultural loans waived.
• Only short-term crop loans are eligible.
• Online application is available through the state portal.

As the festive season approaches, the government has announced a major relief for farmers by waiving off agricultural loans worth Rs 400 crore. This step comes ahead of the Navratri festival, providing much-needed financial relief to 1,76,977 farmers. The state government aims to alleviate the burden of short-term agricultural loans, especially as assembly elections are nearing in several states.

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Loan Waiver Details and Amount

The state government has promised to waive loans of up to Rs 2 lakh under the Agricultural Loan Waiver Scheme. This recent announcement is part of a broader effort to support about 38 lakh registered farmers. The total loan waiver under this scheme is expected to help many farmers overcome their outstanding debts. As of now, loans worth Rs 400 crore have already been waived for the selected beneficiaries.

What is the Loan Waiver Scheme?

The Loan Waiver Scheme was first introduced on 29 December 2020. Initially, it aimed to waive off short-term loans up to Rs 50,000. However, this limit has now been raised to Rs 2 lakh, significantly increasing the number of farmers who can benefit. Any farmer with an outstanding loan up to Rs 2 lakh for the financial year 2024-25 will be eligible for the scheme.

Key Objectives of the Scheme

The primary goal of the Loan Waiver Scheme is to:

• Relieve farmers of the financial stress caused by agricultural loans.
• Improve farmer’s eligibility for future loans, ensuring access to new crop loans.
• Prevent migration of farmers and strengthen the state's agricultural economy.

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Who is Eligible for the Loan Waiver Scheme?

To benefit from this scheme, farmers must meet certain criteria:

• Farmers with crop loans taken before 31 March 2020 are eligible.
• The loan waiver covers only short-term loans; both rayat (land-owning) and non-rayat (tenant) farmers can apply.
• Initially, loans up to Rs 50,000 were waived, but this limit has now been increased to Rs 2 lakh.

Eligibility Conditions for the Loan Waiver

To qualify for the Loan Waiver Scheme, farmers must fulfill the following conditions:

• Must be a resident of the state.
• The age should be over 18 years.
• Must hold a valid Aadhaar card and Kisan Credit Card (KCC).
• Only one family member with a crop loan can apply.
• A valid ration card is required.
• The loan should be issued from a recognized bank within the state.
• Families of deceased borrowers are also eligible for the waiver.

Documents Required for the Loan Waiver

Farmers need to apply online and submit the following documents:

1. Kisan Credit Card (KCC) of the applicant.
2. Aadhaar card.
3. Ration card of the family.
4. Details of the KCC loan, including a copy of the bank passbook.

How to Apply for the Loan Waiver Scheme

Farmers in Jharkhand can apply online for the loan waiver through the official portal: Loan Waiver Scheme Jharkhand. If any farmer finds it difficult to apply, they can also seek help at the nearest Common Service Center (CSC) or bank branch. Farmers can also contact their district Agriculture Department for more information.

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CMV360 Says

This loan waiver scheme is a significant step towards supporting the farmers of Jharkhand and providing them with the financial relief they need. With loans up to Rs 2 lakh being waived, many farmers will be able to start fresh and focus on the upcoming agricultural seasons without the burden of debt.