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Farmers to get interest-free loans up to Rs 2 lakh, says Karnataka

Earlier, short-term loan up to Rs 1 lakh was provided at zero interest and at one per cent interest from Rs 1 lakh to Rs 3 lakh

BS Reporter Bangalore
Last Updated : Jul 13 2013 | 12:41 AM IST
The Siddaramaiah-led Congress government in Karnataka on Friday announced a slew of measures to please most in its first Budget. The chief minister, who presented the revised Budget for 2013-14, announced interest-free loans to farmers up to Rs 2 lakh and at one per cent interest for loans between Rs 2 lakh and Rs 3 lakh.

Earlier, short-term loan up to Rs 1 lakh was provided at zero interest and at one per cent interest from Rs 1 lakh to Rs 3 lakh.

“This is an inclusive Budget and stress has been on agriculture, education, health, infrastructure, rural development, irrigation and energy. We have given ample stress to the infrastructure of Bangalore city,” the minister said.

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To address the issue of uncertainty in prices of agricultural commodities faced by farmers, the minister announced setting up of Agricultural Prices Commission on the lines of a similar body at the Centre. This would comprise farmers, experts and agro-economists. The government would fix suitable prices based on scientifical recommendations of the commission, he said.

To ensure the farmers get the minimum support price, price intervention and support price operation will be started in advance. The revolving fund for this would be raised to Rs 1,000 crore this year, he said.

He also announced the establishment of Calamity Mitigation Fund, with an initial corpus of Rs 500 crore. This would help farmers during the natural disasters.

Siddaramaiah also announced measures for schoolgirls, women and transgenders. To encourage enrolment and attendance of girls in first standard in government schools, Rs 2 would be given to girls for each day’s attendance.

The government intends to provide scholarship and free education to students, whose parents are affected with human immunodeficiency virus or leprosy, for higher education. Also, free ten sanitary napkin pads would be provided to 3.25 million females.

"Manaswini" would be introduced to provide monthly pension of Rs 500 to unmarried women below poverty line who have crossed 40 and for divorced women below the poverty line.

“Mythri” would be launched for providing monthly pension of Rs 500 to transgenders.

Among other major announcements were construction of fishing port in Kulai, Mangalore and Hejamady in Udupi and allocation of Rs 229 crore, distribution of fibre glass boats to 2,000 inland fishermen for the programmes under fisheries department. He also announced Rs 9 crore to tackle Naxal activities in Karkala region and construction of truck terminal in Mangalore and other places in the state.

He said the government would spend Rs 9,812 crore for irrigation projects during 2013-14. Creation of irrigation potential of 108,590 hectares and construction of field irrigation channels in 80,000 hectares. He said the government would also increase the height of Almatti dam from 519 metres to 524 metres to tap an additional water of 177 tmc in Krishna river basin.

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First Published: Jul 13 2013 | 12:34 AM IST

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