Finance Minister Nirmala Sitharaman rolled out the second instalment of the ₹20 lakh crore economic stimulus announced by Prime Minister Narendra Modi, aimed to help migrant workers and farmers.
Today's initiative focuses on migrant workers, street vendors, small traders, self-employed people, small farmers, Sitharaman said while starting her announcements.
The central government announced ₹2 lakh crore concessional credit boost to 2.5 crore farmers through Kisan Credit Cards. Fishermen and animal husbandry farmers will also be able to get the benefits of this drive. Under this scheme, around 2.5 crore farmers will be covered. This drive will enable farmers to gain access to institutional credit at concessional interest rate.
Till now, as many as 25 lakh new Kisan Credit Cards has been sanctioned with a loan limit of 25,000 crore, Sitharaman mentioned. “We have not forgotten them. These new credit cards have been sanctioned totaling ₹25,000 crores. There may have been a lockdown but government has not been sitting quiet,” the minister said.
Nearly 3 crore marginal farmers already availed the benefits of ₹4 lakh crore loans on concessional rates, the finance minister added. Those who had availed of these credit, were also given a moratorium for three months. The interest subvention and prompt repayment incentive on crop loans due from March was extended to May 31.
NABARD will extend additional refinance support of ₹30,000 crore for crop loan requirement of rural co-operative banks and regional rural banks. This amount was over and above ₹90,000 crore to be provided by NABARD through refinance route this year, Finance Minister added.
The additional support will benefit around 3 crore farmers — mostly small and marginal — to meet their post-harvest (Rabi) and current Kharif crop requirements in May and June.
For small businesses, the minister announced a 2% interest subvention under MUDRA-Shishu loans of up to ₹50,000. This would cost the government ₹1,500 crore. For street vendors, the working capital loan would cost ₹5,000 crore.
Prime Minister Narendra Modi on Tuesday announced a ₹20 lakh-crore stimulus package, aimed at making the country self-reliant and reviving stalled economy.
