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Rajasthan became the third Congress ruled state to announce the loan waiver for farmers after Madhya Pradesh and Chhattisgarh.

Rajasthan Chief Minister Ashok Gehlot said that the agricultural loans of defaulters up to ₹2 lakh each with the nationalised, commercial and rural banks would be waived with the cut-off date of November 30.

He also added that the previous BJP regime, which had announced waiver of farmers’ loans up to Rs 50,000 each, had paid only Rs 2,000 crore and left a burden of Rs 6,000 crore on his government. The Congress government’s decision is set to benefit over 30 lakh farmers in the state.

While Kamal Nath earlier signed an order to waive off farmers’ loans up to Rs 2 lakh. Farmers who had taken loans from nationalized and cooperative banks before March 31, 2018 will be eligible for the loan waiver, according to Principal Secretary (Agriculture) Rajesh Rajora.

Short-term farm loans to the tune of over Rs. 6,100 crore of over 16.65 lakh farmers, drawn from cooperative banks and Chhattisgarh Gramin Banks, as on November 30, will be waived immediately and loans borrowed from commercial banks will also be waived after proper examination, said Bhupesh  Baghel.

Congress president Rahul Gandhi tweeted:

On Wednesday morning, Gandhi took a jibe at two BJP-led state Governments and tweeted-

“The Congress party has managed to wake the CM’s of Assam & Gujarat from their deep slumber.  PM is still asleep. We will wake him up too.”

Meanwhile, Niti Aayog Vice-Chairman Rajiv Kumar criticized ‘loan waiver policy and said “It is not a solution to farm sector distress. It is not a solution but is palliative”.

He also added that even the country’s auditor, the Comptroller and Auditor General said loan waivers don’t help.

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