Telangana banks on Centre's farm sops
Deccan ChronicleHyderabad: Telangana State finance department officials are waiting for the Centre’s proposed farm relief package in the hope that it will reduce the financial burden on the state exchequer. Telangana Rashtra Samiti president and Chief Minister K. Chandrasekhar Rao had in the recent Assembly elections assured farmers he would increase farmer’s investment subsidy under Rythu Bandhu scheme from Rs 8,000 to Rs 10,000 per acre per year and waive off farm loans of up to Rs 1 lakh for each family. The Rythu Bandhu scheme has increased financial burden on the state from Rs 10,000 crore to Rs 11,000 crore per year while the financial burden on the state government for waiving of farm loans is Rs 17,000 crore. In fact, the Centre is considering whether to announce a farmer’s investment subsidy scheme on the lines of Telangana government or a farm loan waiver scheme. If the Centre announces a farm loan waiver scheme, it will reduce the burden on Telangana government by around Rs 17,000 crore, The Centre is also planning a farmer’s investment subsidy of Rs 10,000 per year.