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Crop Loan Waiver Expanded

CHENNAI: The Tamil Nadu government has expanded its crop loan waiver scheme, providing full debt relief up to Rs 75,000 for farmers who borrowed through cooperative banks. The move comes in the wake of criticism of an earlier announcement in which loans were waived only up to Rs 50,000.According to an official statement, Chief Minister C. Joseph Vijay made the announcement following a high-level review meeting held on June 15, 2026, at the Chief Secretariat. The review was prompted by widespread demands from various stakeholders across the state to broaden the initial waiver scheme announced on May 25, 2026, which had offered full relief only up to Rs 50,000 for small and marginal farmers.Under the revised scheme, the government will provide a 100% waiver of the loan amount for crop loans up to Rs 75,000 and a fixed waiver of Rs 35,000 for loans above Rs 75,000.The waiver covers crop loans availed between May 1, 2025, and February 28, 2026. A total of 14.43 lakh farmers will benefit from this scheme, with the total financial commitment for the state government estimated at Rs 5,932.23 crore.

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