Tamil Nadu CM Vijay announces 100% crop loan waiver up to ₹75,000, more relief for higher loans. Check details
Vijay said that despite the state's financial constraints, his government has decided to extend additional support of ₹953.06 crore to farmers.
Tamil Nadu Chief Minister C Joseph Vijay on Monday announced a full waiver of cooperative farm loans up to ₹75,000. Additionally, he announced a waiver of ₹75,000 on all farm loans up to ₹1 lakh.
“Crop loans of up to ₹75,000 will be completely waived by 100%. For crop loans from ₹75,000 to ₹1,00,000, a waiver of up to ₹75,000 will be provided,” Vijay said during the Tamil Nadu Assembly session.
For crop loans above ₹1 lakh, the Tamil Nadu government will provide a waiver of up to ₹35,000.
“Through this measure, 2,38,264 farmers who have obtained crop loans between ₹75,000 and ₹1,00,000 will receive a waiver of up to ₹75,000 each,” he said. “As a result, they will have the opportunity to receive an additional waiver of up to ₹40,000, over and above the waiver they have already received.”
‘Farmers are our lifeline’
Vijay emphasised that agriculture is the backbone of the state and that the nation's prosperity depends on supporting farmers, and said, “If the people of Tamil Nadu are our life, then farmers are our lifeline... Protecting the livelihoods of farmers, reducing their debt burden and strengthening agriculture are among the foremost responsibilities of this government.”
‘Financial burden on govt, but…’
Vijay said that despite the state's financial constraints, his government has decided to extend additional support of ₹953.06 crore to farmers.
Making an announcement under Rule 110 in the Assembly, Vijay said the government previously waived agricultural loans up to ₹50,000 within 15 days of taking office in May.
This was later expanded to provide full waivers for loans up to ₹75,000, and a ₹35,000 waiver for loans exceeding ₹75,000, benefiting over 14.44 lakh farmers.
Following consultations with agricultural unions on 7 August 2026, the government decided to provide additional relief despite current financial constraints and Reserve Bank of India guidelines that required rapid settlements with cooperative banks — full reimbursement to cooperative banks within 45 to 60 days — the chief minister said, announcing additional benefits.
Who gets what?
As per Vijay's announcement:
- Cooperative farm loans up to ₹75,000 will now be provided with a 100 per cent waiver
- Loans between ₹75,000 and ₹1 lakh will receive up to ₹75,000 in waivers
- Loans above ₹1 lakh will receive a maximum waiver of ₹35,000.
"This initiative will provide additional support to over 1.38 lakh farmers, representing an additional financial commitment of approximately ₹953.06 crore by the government, with a total waiver amount reaching ₹6,220 crore for 13.34 lakh farmers," the CM said.
(With agency inputs)
About the Author
Arshdeep Kaur is a Senior Content Producer at Mint, where she reports and edits across national and international politics, business and culture‑adjacent trending stories for digital audience. With five years in the newsroom, she strives to balance the speed and rigor of fast‑moving news cycles and longer, context‑rich explainers. <br><br> Before joining LiveMint, Arshdeep served as a Senior Sub‑Editor at Business Standard and earlier as a Sub‑Editor at Asian News International (ANI). Her experience spans live news flows, enterprise features, and multi‑platform packaging. <br><br> At Mint, she regularly writes explainers, quick takes, and visuals‑led stories that are optimized for search and social, while maintaining the publication’s standards for accuracy and clarity. She collaborates closely with editors and the audience team to frame angles that resonate with readers in India and abroad, and to translate complex developments into accessible, high‑impact journalism. <br><br> Arshdeep's academic training underpins her interest towards policy and markets. She earned an MA in Economics from Panjab University and holds a Post‑Graduate Diploma in Broadcast Journalism from the India Today Media Institute (ITMI). This blend of economics and broadcast storytelling informs her coverage of public policy, elections, macro themes, and the consumer‑internet zeitgeist. <br><br> Arshdeep is based in New Delhi, where she tracks breaking developments and longer‑horizon storylines that shape public discourse.
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