CM asks PM to waive 50% of farms loans from banks

Chief Minister Siddaramaiah has written to Prime Minister Narendra Modi urging him to waive 50% of short-term crop loans taken by farmers from commercial banks, private banks and regional rural banks.

In a letter to Modi, copies of which were released to the media on Monday, Siddaramaiah stated that 51 lakh farmers have taken crop loans to the tune of Rs 52,744 crore as on March 31 this year. Of these, 28.73 lakh farmers have availed Rs 42,007 crore from commercial banks and regional rural banks (RRBs) and 22.27 lakh farmers have taken Rs 10,736 crore from cooperative banks.

The state has waived short-term loans of up to Rs 50,000 borrowed from cooperatives benefiting 22.72 lakh farmers.

“The above relief would not bring succour to all the farmers as those who availed crop loans from commercial banks, private banks and RRBs are not covered (sic),” he stated.