Hyderabad: Andhra Pradesh Chief Minister-designate N. Chandrababu Naidu who is firm on waiver of farm loans wants to implement it in a phased manner.
Although Mr Naidu will sign on the farm loan waiver file first, the total waiver of farm loans will take time since permission from the Reserve Bank of India is needed. Mr Naidu opines that if in the first phase crop loans are waived, farmers will get fresh loans from the banks to continue their agriculture activities.
Officials say, for waiver of crop loans around Rs 30,000 crore will be required. The finance department has already sent the details of farm loans to the Chief Secretary I.Y.R. Krishna Rao. For total waiver of agriculture loans including gold loans around Rs 80,000 crore will required. The amount is more than the state annual budget.
After signing the first file Mr Naidu will appoint a committee headed by C.S. Rao to fix the guidelines on the waiver of farm loans. According to sources, state might issue bonds to meet the amount of money.
The state government is also planning to request the Union government to sanction funds to meet the money for waiver of farm loans. Mr Naidu has promised waiver of Dwcra loans also, for which the state requires around Rs 14,000 crore.
Sources close to Mr Naidu said, an official team has already gone to Delhi to discuss this issue with Union finance minister and also with Reserve Bank officials.
