Karnataka to waive off crop loans of farmers who died due to Covid-19

Karnataka Cooperation Minister S T Somashekhar announced Thursday that the state government will write off loans borrowed by farmers who died due to Covid-19.

Speaking to reporters, Someshekhar said that the government will compile the list of such farmers for the waiver. "A decision on this will be taken in the next two to three days," he said.

The waiver will be applicable for loans borrowed from cooperative banks.

Data on the outstanding loans by farmers in cooperative banks are being compiled by the Department. However, there is no information on the number of farmers who died in the pandemic yet, the minister said.

The government will collate the relevant data and waive off loans at the earliest, Somashekar added.

He hailed the formation of the new Ministry of Cooperation saying that it would provide impetus to the cooperatives sector.

"This won't affect the Cooperation Departments run by state governments. Some of the amendments enacted by the Centre were not being implemented by the States. This led to confusion, which will be addressed by the new ministry," Somashekhar said, maintaining that powers of the State with respect to cooperatives will not be hampered.