The Hindu : Sonia writes to PM on farmers' woes

Online edition of India's National Newspaper
Tuesday, Sep 23, 2003

National

National

Sonia writes to PM on farmers' woes

By Our Special Correspondent

NEW DELHI SEPT. 22. Concerned over the farmers' problems, especially in obtaining loans, the Congress president, Sonia Gandhi, today urged the Prime Minister, Atal Bihari Vajpayee, to sort out the `internal differences' between the Ministers of Finance and Agriculture, on the issue.

Raising several points, in a letter, including the reduction in the rate of interest on the General Line of Credit (GLC) by NABARD, strengthening of cooperative credit institutions, ensure that banks achieve stipulated 18 per cent of total loans to agricultural sector, and to extend credit to farmers who work as tenants or leased lands, she suggested that Mr. Vajpayee arrange an early meeting of the Ministers concerned.

Referring to her communication to the Agriculture Minister, through which she made suggestions regarding the National Bank for Agriculture and Rural Development, Ms. Gandhi said she was "pleasantly surprised" to read in the newspapers that the Minister had recently written to the Finance Minister stating that these and some other measures could go a long way in easing farmers' accessibility to credit. "However, the Finance Ministry has so far been unable or unwilling to take positive decisions on these urgent issues," she said.

Ms. Gandhi said she was told that the Reserve Bank had reduced the rate of interest on the GLC from 6.5 per cent to 6.25 per cent in July this year but it was not clear whether this marginal decrease would have the desired effect.

Printer friendly page
Send this article to Friends by E-Mail

National