Karnataka Offers to Share Farm Loan Waiver Cost
Karnataka Chief Minister D.K. Shivakumar has said the state government is prepared to share the financial burden of a farm loan waiver if the Centre agrees to announce one, as severe drought conditions continue to affect farmers across large parts of the state.
Karnataka Seeks Centre’s Help for Farm Loan Waiver
Speaking during a special session of the Karnataka legislature, Shivakumar said he was ready to lead an all-party delegation to Prime Minister Narendra Modi and Union Home Minister Amit Shah to seek support for a loan waiver.
He said Karnataka was willing to accept different cost-sharing formulas, including 50:50, 60:40 or 70:30 arrangements between the Centre and the state.
Shivakumar said his government wanted cooperation rather than confrontation and was prepared to reconsider spending on some projects if required to support drought-hit farmers.
BJP and JD(S) Demand Rs 2 Lakh Waiver
The remarks came as opposition BJP and JD(S) legislators demanded a farm loan waiver of up to Rs 2 lakh per farmer.
The opposition later staged a walkout, arguing that the government had not announced sufficient financial assistance for agricultural households affected by drought.
Karnataka has declared 177 of its 240 taluks drought-hit, while preliminary estimates place overall losses at around Rs 40,000 crore.
Karnataka Announces Rs 2,500 Interim Assistance
The state government has announced an immediate input subsidy of Rs 2,500 each for around 50 lakh drought-affected farmers, involving expenditure of approximately Rs 1,250 crore.
Karnataka is also seeking additional disaster assistance from the Centre and has extended the repayment period for crop loans from 36 months to 60 months.
