Even though the Reserve Bank of India had given only conditional and limited approval to the scheme, the Telangana Government on Tuesday issued the orders waiving the farm loans of Rs1,00,000 per family in the State.
While the ruling Telangana Rashtra Samiti (TRS) had promised to waive all the farm loans up to Rs1,00,000 in the State, RBI had accorded its approval to the implementation of this scheme in only four of the ten districts. It claimed that the farmers in other districts did not qualify for the loan waiver as they had recorded bumper crop last year.
But the State Cabinet in its meeting on Monday night decided to waive all the farm loans and a formal Government order was issued on Tuesday.
In another development Chief Minister K Chandrasehkar Rao also signed the file giving a special increment to all the State Government employees. Starting with the salary of August, the employees will get this increment till their retirement. Apart from the employees of Government degree colleges, polytechnics, those working in Universities recognised by the University Grants Commission and All India Council of Technical Education will also benefit from this increment.
KCR had promised the increment on the occasion of formation of Telangana statement as a token of gratitude for the role of employees in the struggle.