CM YS Jagan's 0% crop loan scheme to safeguard farmers

Amaravati: The Government of Andhra Pradesh has decided to provide Interest Free Crop loans under YSR-Sunna Vaddi Panta Runalu Scheme from Kharif 2019. Chief Minister YS Jagan Mohan Reddy will launch the scheme on Tuesday.

All farmers, who availed crop loans up to Rs 1 lakh from kharif 2019 onwards and repaid within the stipulated time that is maximum period of one year from the date of disbursement of crop loan will be eligible for the interest-free crop loans. This scheme would safeguard the farmers from heavy debts and to mobilize maximum number of farmers towards institutional credit.

The scheme aims at: Reducing the financial burden to the small and marginal farmers by providing crop loans on Sunna Vaddi; Developing financial discipline among borrowers by timely repayment of the loans; Providing crop loans and benefits of the timely repayment to the actual cultivators as per the e-Crop data; Developing more accountability by transferring scheme benefits directly to farmer accounts and Displaying the beneficiary lists at RBKs for Social Audit which also aims at mobilizing farmers with overdue loans.

In response to the proposals submitted by the Department, the Government has approved the YSR-SVPR guidelines for implementation of the programme with effect from kharif 2019. The Department has initiated the process of obtaining claims pertaining to kharif 2019 to provide the scheme benefit to actual cultivators on November 17.

The proposed quantum of claims pertaining to kharif 2019 is as follows: Number of farmers taken crop loans (48.60 lakhs), number of farmers taken crop loans up to Rs 1 lakh (27.70 lakhs), number of famers accounts eligible for loans now (14.28 lakhs) (Timely repayment) and Subsidy Amount is: Rs 510.30 crore.

Under the scheme: Loan disbursement to eligible farmers is done through all the bank branches, repayment of the Loan amount (principle) with interest will be paid by farmer to bank branch within the stipulated time (within a year), Bank will be having a Nodal Branch (SPOC) for uploading the claims through MIS macro sheet, Nodal Branch will collect, consolidate & verify the data from branches throughout AP in macro sheet and uploading of the text files in the web portal (YSR SVPR) year wise and season wise.