Niti aayog member slams loan waiver

Mumbai: NITI Aayog member Ramesh Chand says the farm loan waiver is not the solution to the farmer suicide issue. Mr Chand said that government should concentrate more on the issue of ensuring a fair price for food grains, pulses and agro products, which would improve the financial condition of farmers.

Mr Chand, while talking to the media on Thursday, said, “I have not gone through the farmer suicide issue in Maharashatra. But in Uttar Pradesh and Punjab, only 30 per cent of farmers are taking loans from banks and 30 per cent from other sources. Mostly 70-80 per cent of farmers are repaying their loans. There is always a demand for a loan waiver after every four to five years, and government gave it in 2008. When the government declares a waiver, it reaches limited farmers, Mr Chand said.

So, instead of spending money on the loan waiver, if it could be utilised on giving a fair price for farmers’ crops and goods, he said.