Maharashtra Chief Minister Devendra Fadnavis announced here on Thursday that farmers’ loans will be waived before June 30, 2026. He said nationalised banks have been instructed not to ask farmers about their CIBIL scores.
The decision is seen as a politically sensitive one, with the potential to benefit the BJP-led Mahayuti government since it could attract farmers’ votes from across the state, especially since opposition parties like the Congress and the Uddhav Thackeray-led Shiv Sena have been using the farmers’ loans waiver issue as a stick to beat the Fadnavis government.
Fadnavis’s latest announcement could significantly deflate the Opposition’s momentum since it has comes right ahead of the Kharif sowing season and farmers had demanded loan waiver should be implemented before the sowing season starts.
The CM announced the decision after a cabinet meeting here on Thursday.
Speaking to media persons about the farmers’ loan waiver, Devendra Fadnavis said, “All important issues like crop loans given to farmers, waiver of farmers’ loans, availability of seeds and fertilisers for the Kharif season, as well as the rainfall forecast for the coming months were discussed. We have discussed the loan waiver with banks. There was a discussion about the format in which banks should provide information about the loan waiver, and in which format the loan waiver should be done. We have also planned how to implement the decision we have taken on loan waiver on time. This year, more farmers will be eligible for the loan waiver”.
Fadnavis stated that banks will send letters to each branch in this regard. “There is no CIBIL condition for crop loans in this letter. RBI officials were present in our meeting. They have also confirmed this. An order has been given that no farmer should be hindered for any crop loan,” Fadnavis said.
“The government is keeping a close eye on the supply of fertilisers to farmers. This year, due to the global situation, there will be more pressure on fertiliser production. Attention will be paid to whether fertilisers are being diverted to the industrial sector. We will have to try to use water as little as possible. We should try to do a good crop cycle. We will waive off loans before June 30, so that our farmers will be eligible for loans for the next season,” Fadnavis said.
Fadnavis said that he has directed nationalised banks to meet their target of 80 per cent loan disbursement to the agriculture sector, which is expected to make farmers happy.
In Maharashtra, district cooperatives and rural banks together provide 67 per cent of the loans, while 26 per cent of the loans are being provided by other nationalised banks.
Fadnavis said that the El Nino effect is expected to adversely affect farmers. An 88 per cent rainfall has been forecast. Therefore, it is expected to put more stress on the agriculture sector.
Fadnavis stated that his government drafted plans according to the weather forecast and work on the “Jalyukta Shivar” (water abundant farmland) project has been accelerated. Jalyukt Shivar is a flagship water conservation scheme launched by the Maharashtra government. It aims to make drought-prone villages self-sufficient in water by harvesting rainwater and preventing runoff.
Fadnavis also stated that the Mahavistar app has been launched to provide farmers information about cropping patterns and other information using artificial intelligence. The app will enable farmers to ask questions in Marathi language to get all necessary information, Fadnavis said.