Govt. includes ₹20,000 cr. for loan waivers in supplementary demands

Biggest supplementary demand in last three years of ₹33,533 crore tabled on Day One of monsoon session

July 25, 2017 12:54 am | Updated 12:54 am IST

Mumbai: In one of the biggest supplementary demands ever, the BJP-led State government on Monday said it needed ₹33,533 crore to meet expenses, including ₹20,000 crore for the farm loan waiver scheme, Chhatrapati Shivaji Maharaj Shetkari Sanman Yojana 2017. The supplementary demand was presented in the Legislative Assembly on the first day of the monsoon session.

Chief Minister Devendra Fadnavis said, “The State government is ready to discuss the loan waiver scheme with Opposition leaders. The Opposition should not forget the government has asked for provision of ₹20,000 crore in the supplementary demands, which we propose to use for the loan waiver scheme."

Of the total ₹20,000 crore allotted for the scheme, ₹1,000 crore will come from the Tribal Area Sub Plan, with the same amount to be used specifically for tribal farmers. Another ₹1,000 crore is earmarked for Scheduled Caste farmers.

Mr. Fadnavis is facing criticism from the Opposition for delays in implementing the loan waiver scheme. Leader of Opposition in the Assembly Radhakrishna Vihe-Patil questioned the need for farmers to fill out forms. “It was not mentioned in the original announcement made by the government, which is in possession of all information about farmers loans. Why do farmers have to fill a form?”

The NCP too questioned the allotment of ₹20,000 crore for the scheme, saying the government had earlier made the announcement to provide loan waivers of ₹34,000 crore. “What happened to the remaining ₹14,000 crore? Did the government fool farmers initially?” NCP State unit chief Sunil Tatkare asked.

While the State Cooperation department was given the biggest share in the supplementary demands at ₹19,577 crore, the Urban Development Department (UDD) gets ₹7,961.97 crore. Interestingly, 90% of the money allocated is in the form of reimbursement to local bodies following the cancellation of Local Body Tax (LBT) and octroi after the introduction of the Goods and Services Tax (GST). The state will be paying ₹7,356.53 crore to all municipal bodies, including the BMC, this year as reimbursement. The amount is likely to increase by 8% to 10% every year.

The Public Health Department (PHD) has been allocated ₹1,710.04 crore, followed by the Water Resources department at ₹500.21 crore. “This is possible after after introducing cuts of up to 20% in revenue expenditure. The State’s financial condition doesn’t permit introduction of new infrastructure projects,” former CM and senior Congress leader Prithviraj Chavan said.

0 / 0
Sign in to unlock member-only benefits!
  • Access 10 free stories every month
  • Save stories to read later
  • Access to comment on every story
  • Sign-up/manage your newsletter subscriptions with a single click
  • Get notified by email for early access to discounts & offers on our products
Sign in

Comments

Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.

We have migrated to a new commenting platform. If you are already a registered user of The Hindu and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.