MUMBAI, India (Reuters) — India’s richest state of Maharashtra will give waivers for loans of up to$3,660 incurred by distressed farmers, the government said late last month.
Chief Minister Uddhav Thackeray told the state legislature of the move Dec. 21 but did not elaborate on how the state would fund the initiative or how many farmers would benefit.
Maharashtra, of which Mumbai is the capital, announced a similar scheme in 2017, when waivers were granted for loans totalling $6.9 billion to 8.9 million farmers.
Farmers have been under stress after a drought in 2018 and flooding in 2019, which squeezed their earnings.
Maharashtra is the country’s top producer of pulses and the second biggest producer of sugar, soybeans and cotton.
