The government is considering various measures aimed at supporting distressed farmers ahead of the general election, reported The Economic Times.
The government is looking at measures such as doubling collateral-free loans under Kisan Credit Cards (KCCs) to Rs 2 lakh and changes in the Pradhan Mantri Fasal Bima Yojana (PMFBY) crop insurance scheme to enhance coverage and ensure faster settlement of claims to bring consolation to the agrarian sector, the report said citing a senior unnamed official.
The official also added that the Niti Aayog is holding discussions with the ministries of agriculture and finance on all possible steps, including the feasibility of a loan waiver.
The development comes as the ruling BJP suffered serious setbacks in the recently held state elections, raising concerns over party’s prospects in the upcoming parliamentary elections. Many had pointed to the anger of farmers as the prime reason for the BJP’s setback.
Have you signed up for Primo, our daily newsletter? It has all the stories and data on the market, business, economy and tech that you need to know.