Crop loans: Disbursal for kharif at just 38%, state stares at major credit crisis | The Indian Express
As the kharif crop gets ready for harvesting in Maharashtra, a major credit crisis seems to be unfolding. Institutional disbursal of crop loans has been very low this year, with the state reporting only 38 per cent disbursal of its kharif loan outlay by August 15 this year, compared to 76 per cent recorded on the same date last year. The banks in Maharashtra had managed to give out loans worth just Rs 15,516.61 crore out of the total outlay of Rs 40,457.20 crore till the middle of the last month. Last year, by the same date, the banks had made disbursement of Rs 28,597.93 crore out of the outlay of Rs 37,677.03 crore.
Ajit Navale, general secretary of Kisan Sabha, blamed the slow pace of loan waiver for low disbursal. “In the hope of the loan waiver, many farmers had not renewed their loans which led them to default and become ineligible for further loan,” he said.
