The Himachal Pradesh government has launched the Agriculture Loan Interest Subvention Scheme under the one-time settlement policy to provide relief to farmers facing financial distress. According to reports from Business Standard, the scheme will provide assistance to farmers whose agricultural land is at risk of auction due to loan defaults. Under this farmer-centric initiative, the government will bear 50 per cent of the outstanding interest liability on agricultural loans up to ₹3 lakh per farmer. The state government will launch this scheme, fulfilling a key announcement made in the state Budget, as reported by The Times of India.
An estimated 6,356 farmers across the state are expected to benefit from the scheme, with a financial outlay of ₹50 crore. As reported by The Times of India, the scheme will be implemented through the Himachal Pradesh State Cooperative Agriculture and Rural Development Bank and the Kangra Cooperative Agriculture and Rural Development Bank. The concerned branches will identify and prepare the list of eligible borrowers for availing the benefit of interest subvention. The initiative is expected to provide much-needed relief to small and marginal farmers struggling with mounting debt, as reported by The Times of India.
Chief Minister Sukhvinder Singh Sukhu emphasized that farmers are the backbone of the State's economy and their welfare remains the government's foremost priority. According to The Times of India, he stated that many farmers have been facing financial challenges due to adverse circumstances and the government decided to extend this one-time support to eligible beneficiaries. The Chief Minister directed the concerned departments and financial institutions to ensure expeditious implementation of the scheme. He noted that the scheme is intended to assist farmers whose agricultural loans have turned overdue and whose land holdings are under the threat of auction by financial institutions.
The scheme will cover farmers whose agricultural loans have become overdue and whose land holdings are under threat of auction by financial institutions. As reported by The Times of India, by sharing half of the outstanding interest burden, the government aims to facilitate loan regularisation, ease financial stress and enable farmers to continue their agricultural activities without fear of losing their land. The scheme will be implemented through the designated cooperative banks to ensure timely assistance to deserving farmers. The initiative is also aimed at enabling farmers to maintain their livelihoods and improve access to institutional credit in the future, as reported by The Times of India.
